7 


SPEECH 


OF 


ON  THE  bAnK  of  THE  UNITED  STATES,  ' 

House  of  IIepiiese]n-tatives — March  2,  1832. 

"FiiG  following  resolution,  offered  by  Mr.  Clayton,  bein^^  under 
.  '  .-islderation — 

Jl:solved,  That  a  Select  Committee  be  appointed  to  examine  into  the  affairs 
tiie  Bank  of  the  United  States,  v/ith  power  to  send  for  persons  and  paperSs^ 
and  to  report  the  result  of  their  inquiries  to  this  House. 

Mr.  CLAYTON  rose,  and  spoke  as  follows: — 
Mr.  Speaker: 

In  the  discussion  of  this  resolution,  a  very  singular  contra- 
diction has  been  presented.  My  motives  have  been  arraigned  in 
opposition  to  the  express  admission  of  gentlemen,  that  they  believe 
nothing  unfair,  on  my  part,  was  intended  by  its  introduction.  While 
1  am  honorably  acquitted  of  any  political  design,  it  is  nevertheless 
urged  that  the  sole  object  jf  this  inquiry  is  to  defeat  the  renewal  of 
ihe  charier,  and  thereby  save  the  President  from  the  necessit}^  of 
meeting  the  question  at  this  session.  In  seasons  of  strong  political  ex- 
( itemcnt,  where  men  and  not  measures  regulate  the  conduct  of  pub- 
lic functionaries,  very  little  credit  is  given  to  the  pledges  of  any  one; 
and  I  am  av.^are  that  i  place  myself  in  a  very  delicate  situation,  whezi 
I  attempt  to  vindicate  my  motives  by  such  a  resort.  But  I  think 
ii;e  gentleman  from  South  Carolina,  (^Ir.  McDuflie,)  v/ili  bear  me 
j^ut  in  the  declaration,  that  long  before  I  carae  here,  my  opposition 
ii)  the  Bank  was  as  decided  artd  well  known  in  the  country  we  re- 
present, as  his  own  advocacy  of  that  institution.  I  h.ave  been  writ- 
ing against  it  for  the  last  seven  years,  and,  as  he  well  knows,  have 
not  even  spared  his  own  far-famed  rep.ort.  It  v.'ould  be  something 
very  remarkable,  then,  that  under  tiie  lirst  and  only  occasion  where 
\  could  raise  my  ofticial  voice  aoainst  it,  1  should  be  found  dumb  and 
unconcerned.  From  tise  part  1  have  heretolbre  ti^keii,  and  the  just: 
expectation  which  that  coursa  has  inspireiU  T  were  I  to  re- 

"uain  mute  on  this  occasion,  lay  myself  iahiy  <.!.■>. r;xicHis  to  the  sus- 
■/icion  that  somv:  sudden  charyn  had  spelidw-.:];:']  !;:v  -peech.'  Whr?; 
i  perceive  gentlcJiieji  air?rn:;::u-  v>-''';  ■■■■■  ■  ..    .  -  r  i- 

i'liporlant  to  1';^  ^        ' ;  '  'w:-.-.  ,  :  ' 


it  IS  unfair  and  ungenerous  to  assail  it  upon  political  consideration.^', 
and  that  the  present  measure  is  intended,  not  so  much  for  the  pur- 
pose of  faithful  inquiry,  as  to  avoid  the  exercise  of  honest  responsi- 
bility, I  stand  ready  to  declare,  by  every  sanction  imposed  under 
the  highest  solemnity, — nay,  by  all  my  hopes  of  peace  here  or  here- 
after, that  my  opposition  to  the  Bank  is  founded  upon  its  sole,  sepa- 
rate, naked,  and  individual  unworthiness,  unconnected  \vith  any 
consideration  save  the  damning  influence  it  has  already  exerted, 
and  will  continue  to  spread  over  every  interest  in  this  young  and 
growing  country. 

But,  sir,  if  gentlemen  choose  to  consider  the  question  as  contain- 
ing some  lurking  mischief,  and  will  not  believe  any  thing  else,  I  am 
willing  to  put  it  upon  that  footing,  and,  foul  or  fair,  we  can  have  no- 
thing to  dread  in  the  investigation  of  the  subject.  Are  gentlemen 
altogether  pure  themselves  in  this  matter.'*  Is  every  thing  fair  and 
honorable  on  their  part.^  Have  they  no  political  designs  in  urging 
the  Bank  question  at  tliis  time?  They  sliould  take  care  in  persist- 
ing to  ascribe  improper  motives  of  conduct  to  those  who  were  favor- 
able to  the  resolution,  that  they  did  not  betray  their  own  secret 
springs  of  action.  The  suspicion  %vas  much  stronger  against  thems 
and  I  shall  take  occasion  to  exhibit  the  proofs,  if  you  will  press 
into  this  subject  the  Presidential  Election — -if  nothing  else  will  do— 
if  the  Bank  is  anxious  to  measure  arms  with  the  President,  we  meet, 
you  at  once;  and,  without  mincing  the  matter, — without  palavering 
about  disinterested  views,  and  honorable  intentions,  and  all  that  sore 
of  thing,  which  may  suit  any  other  Congress  but  this,  we  come  di- 
rectly to  the  point,  and  affirm,  that  the  friends  of  the  Bank  are  justly  \ 
chargeable  with  the  first  movement  in  this  matter,  under  a  political 
influence  and  for  a  political  purpose;  and  we  will  defeat  them,  if  we 
can,  in  that  object,  if  for  no  other  purpose  but  to  save  the  Govern- 
ment from  the  disgraceful  control  of  this  dangerous  idol.  It  has 
been  distinctly  avowed,  that  the  only  mode  of  saving  the  charter, 
was  to  connect  it  with  the  Presidential  Election,  which  this  resolu- 
tion was  calculated  to  prevent  by  the  delay  it  would  occasion.  It 
seems  to  be  the  prevailing  opinion  of  th»  friends  of  the  Bank,  that 
the  President  is  afraid  to  meet  the  question,  and  therefore  it  is  a 
great  object  with  his  friends  to  ward  olF  the  proptosition  for  rechar- 
tering  it  at  this  session.  Nov/,  if  this  were  true,  it  would  be  no  more 
than  just  that  cunning  should  be  caught  in  its  own  snare.  But 
I  can  assure  gentieman  they  are  greiitly  mistaken:  first,  as  to  the 
firmness  of  the  President;  and  secondly,  as  to  my  ovvu  views  in  pre- 
senting this  resolution.  Docs  any  man  fiatter  himself  that  the  Pre 
sident  wishes  to  waive  this  question?  Ti;e  man  who  has  iov  tw(> 
years  past  urged  the  consideration  of  it  upon  Congress,  that  the 
people  abroad  should  understand  something  of  the  nature  of  an  in 
stitution  01  such  vast  powers,  before  they  gave  it  another  being  I  the 
riian  who  has  never  slirii ok  from  any  danger,  eitlier  moral,  politic;i]- 
or  physical; :  Will  the  man  who  has  riskeil  his  li!e  for  his  country, 
m  a  hundred  shapes— who  wiUiugly  exp/>S£d  it  atTaledega,  Smucla. 


3 


the  Horse  Shoe,  study,  at  this  late  day,  to  preserve  his  popular-^ 
ity  for  the  sake  of  an  office  that  can  add  nothing  to  his  fame?  Will 
\\\e  hero  of  New  Orleans,  who  met  the  pride  and  strength  of  a  tri- 
mnphant  European  army,  and  as  triumphantly  laid  it  low, — who 
tnade  civil  and  military  authorities  bend  to  that  result,  and  defied 
all  responsibility,  now  tremble  at  the  prospect  of  meeting  a  question 
about  which  half  the  people  know  nothing,  and  the  other  half  care 
nothing?  In  addition  to  all  these  tests  of  his  contempt  of  death, 
when  his  soldiers  in  the  Seminole  expedition  were  on  the  very  point 
of  starvation,  so  that  they  were  compelled  to  subsist  on  acorns, 
and  til  the  anguish  of  their  suffering,  declared  they  could  hold  out 
no  longer,  and  v/ould  desert  him — will  the  man,  who  on  that  occa- 
sion, flung  himself  from  his  horse,  and  presenting  his  bosom  to  thosS 
famished  troops,  declared,  if  they  separated  they  should  first  pass 
over  his  dead  body,  be  afraid  to  meet  such  a  mere  pop-gun  as  a  bank 
charter?  Depend  upon  it,  gentlemen  deceive  themselves— greatly- 
deceive  themselves,  if  they  believe  Andrew  Jackson  is  composed  of 
8uch  stuff.  Besides,  the  opinions  expressed  by  the  President  would 
he  those  of  the  mass  of  the  people,  had  not  suih  infinite  pains  been 
taken  to  mislead  them  by  dependent  debtors,  hireling  presses,  and 
interested  speculators.  As  to  my  own  course,  it  is  actuated  by  no 
party  devotion  to  the  President.  I  have  come  here  to  attach  myself 
to  no  party,  except  that  which  shall  relieve  the  South  from  its  most 
intolerable  burthens;  and  on  that  account  1  do  not  agree  witli  the 
President  on  all  points  of  policy.  I  regret  to  say  the  President  is 
too  much  of  an  American  Sysfem  man  for  me;  but  I  take  pride  in 
saying,  I  admire  him  for  his  independence,  I  honor  him  for  his  in- 
tegrity, and  I  greatly  venerate  him  tor  his  services;  and  for  myself, 
t  hough  anii-tarij/'m  principle,  am  v/illing  to  support  the  President's 
general  policy,  and  in  this  respect  I  am  confident  I  express  the  ge- 
neral feelings  of  the  South.  So  much  for  the  political  n>jtLVes  that 
belong  to  the  introduction  of  this  resolution.  Let  us  now  inquire 
into  the  views  which  so  suddenly  determined  the  frienLi-  of  the  Bank 
;o  bring  forward  the  m.easure  of  renewing  its  charter  at  this  time, 
since  gentlemen  court  this  discussion.  In  the  month  of  Septerr.be'j 
♦ast,  the  stockholders  ol  the  Bank  held  their  triennial  meeting  at 
Philadelphia,  and  down  to  that  time  no  cause  appeared,  though  they 
had  fully  examined  all  the  aiTairs  of  the  Bank,  which  could  make  \t 
necessary  to  apply  to  Con^^-ress  for  a  reincorporation.  On  that  oc- 
casion, if  any  good  reason  ijad  presented  itself  to  t:ie  stockholders 
tor  rechartc^ring  the  Bank  at  this  session,  does  not  every  onebelievi^ 
important  a  matter  would  have  been  concluded  u|ii)n?  But  wha" 
-.iid  they  say  at  tiiat  time?  Let  me  read  it  to  the  House.  Say  thev, 
••The  charter  of  the  Bank  will  expire  on  the  tJnrd  of  MarcJil  ISSi;, 
and  tliere  will  consequentiy  be  (;>zs  tri.mnial  meeting  after  liio 
present,  and  ilixLt  at  a  point  of  time  t.ao  near  the  expiration  of  li;- 
present  char-ter,  to  authoriz.e  me^isures  in  vep^ard  U)  its  renewal.  ] 
iS  fit,  that  b-efore  that  meeting,  power  shanhJ  given  tjo  the  Roard 
<ff  Directors  to  prosecute  them*  (7"  tlie\j  iliink  proper.    This  r^wer 


4 


should  be  large  and  definitive;  not  merely  to  solicit  a  renevvar,  hut. 
to  abide,  if  they  think  right,  by  the  terms  which  Congress  may  im- 
pose. A  Board  of  Directors,  who  have  administered  the  Etink  in 
the  manner  detailed  in  their  recent  communication,  are  safe  depo- 
sitaries of  the  entire  poiver  of  the  stockholders  on  the  subject  of  v.. 
renewal  of  the  charter."  Down,  then,  to  last  September,  it  mani 
festly  appears  no  good  reason  presented  "tself  to  the  stockholders, 
aided  as  they  were  by  their  "  safe  depositaries,''  to  trouble  Con<;;res:^ 
at  this  session  about  their  charter:  but,  as  if  it  might  be  necesparv  to 
watch  the  signs  of  the  times,  and  to  make  the  most  of  favorable  "cir 
cumstances,  these  stockholders  came  to  the  conclusion  to  ve;- tiui- 
limited  powers  in  their  Directors  to  apply  for  the  renewal  vrheiiever 
tliey  thought  proper;  and  to  save  appearances  for  conferring  so  greaf 
a  trust,  apologized,  by  declaring  them  worthy  of  all  conSdence  on 
account  of  former  fidelity,  and  of  course  ''safe  depositaries  of  the  en- 
firepower  of  the  stockholders.''  Acccordingly,  they  "Essvlvsd,  That 
if  at  any  time  before  the  next  triennial  meeting  of  the  stockholders.. 
(September,  1834,)  it  shall  be  deemed  expedient  by  the  President  amr 
Directors  to  apply  to'Congress  for  a  renewal  of  the  charter  of  the 
Bank,  they  8.re  hereby  authorized  to  make  such  application  in  the 
name  and  behalf  of  the  stockholders,  and  to  accept  such  terms  ol 
renewal  as  they  may  consider  just  and  proper."  Thus  ended  that 
meeting,  and  -lothing  prepared  for  Congress.  On  the  first  Monday 
in  December,  being  the  time  of  the  meeting  of  Congress,  nothing 
7/as  heard  about  the  Dank  but  the  thrice  repeated  voice  of  the  Pre- 
sident. Down  to  that  time,  or^  reasonable  time  thereafter  for  the 
■presentation  of  a  memorial,  the  Bank  had  seen  nothin^^-  to  make  as- 
application  nece;>sary,  and  so  little  was  then  thought  of  the  mattei-> 
that  when  so  much  of  the  President's  message  as  related  to  the  Bank 
was  proposed  to  be  referred  to  the  CommitteQ  of  Ways  and  Means„ 
the  chairman  of  that  committee  said  it  was  unnecessary  to  make  such 
reference,  for  no  report  would  be  made  at  this  session  on  the  sub  - 
ject, unless  the  Bank  applied  for  the  renev/al  of  its  charter:  anil 
there  the  matter  rested.  As  a  great  objection  to  the  resolution  oi 
inquiry,  it  is  nov/  urged  that  it  is  all  important  to  have  early  actioi; 
Tipon  the  subject  of  rechartering  the  Bank; — delay  will  be  fatal  to  it. 
This  resolution  comes  too  late;  it  will  defeat  the  Bank  of  its  char- 
ter; nothing  can  be  so  important  to  stockholders  as  to  know  what 
Ihey  have  to  rely  on.  And  can  it  be  possible  that  gentlemen  are 
serious  in  such  declarations.^  What!  the  stockholders  not  anxious 
about  the  matter  in  September  last- — left  the  v/hole  matter  to  Wx^i 
Difectors— ihey  unprepared  and  indifferent  about  asking  this  Con- 
gress  for  a  new  charter  at  its  meeting  in  December— send  an  ageni 
here,  who  remained  siii  weeks  v/ithout  ever  broaching  the  subject  tc 
Congress— who  returned  home,,  and  then  sent  on  a  slmrt  memorial 
f hat  does  not  contain  one  solitary  reason  why  this  Congress  rathei 
f'iati  any  other  should  act  upon  the  subject,  that  now  it  is  all  impor- 
tant for  e«f/?y  ^/cf'?  op?  /  Wonderful!  No;  the  truth  is,  the  agent  i 
Lave  mentioned  came       upon  a  veconoitering  expedition,  hung 


v!ifouii.l  the  skirls  of  the.  camp,  and  would  occasional! j  wait  ypon 
Dolitical  meeti'a!>;s,  commonlj  called  caucuses,  and,  after  coim^mg- 
noses  and  concerting  plans,  popped  off  to  Philadelphia—and  lo!  on 
rame  the  memorable  memorial  which  now  reqiures  such  ''early  ac- 
tion," and  is  doomed  to  destruction  if  it  meets  with  any  delay  I  Oin 
v/hat  inetlable  modesly  is  here,  my  countrymen!  This  is  the  key 
to  the  imputation  of  political  management.  Gentlemen  who  have 
brought  it  forward  against  the  side  I  advocate,  are  conscious  of  their 
own  principles  of  action,  and  are  carefully  endeavoring  to  fasten 
^upon  me  what  belongs  to  themselves.  I  beg  leave  to  be  excused.  I 
htive  been  to  no  private  political  meeting  about  this  resolution,  and 
that  is  more  than  can  be  said  on  the  other  side  in  relation  to^  the 
Eank.  I  go  no  v/here  but  from  my  lodgings  to  this  house,  and  from 
this  house  to  my  lodgings;  and,  coming  or  going,  I  am  never  in  a 
caucus,  unless  the  promiscuous  throng  that  attends  this  place  may 
sO  be  called.  I  have  the  further  testimony  of  some  six  or  eight  honest 
true  hearted  Slate  rights  men,  with  whom  I  live,  that  will  readily 
aOirm  they  know  ali  my  movements;  and  so  far  from  having  secret 
meetings,  our  every  tliought  and  action  is  laid  open  to  the  world  in 
terms  of  constant  detestation  of  that  plundering  system  that  is  so  fa- 
tally destroy  i  rig  our  constituents. 

As  to  the" objection  made  by  the  gentleman  from  South  Carolina, 
(Mr.  McDuftie,)  that  this  resolution  comes  too  late,  and  v.'ill,  if  its 
4)bject  is  attained,  defeat  the  rechartering  of  the  Bank,  it  has  been 
most  ably  answered  by  my  colleague,  (Mr.  Foster,)  yesterday.  1 
will  only  add,  that  this  objection  comes  with  a  bad  grace  from  the 
honorable  Chairmail  of  the  Committee  of  Ways  and  Means;  for  he 
had  not  reported  the  Bank  bill  ten  days,  before  I  introduced  my  re- 
.soliilion.  I  arrived  here,  Mr.  Speaker,  on  the  SOtli  of  January,  and 
found  the  subject  of  die  Bank  in  the  care  ajul  keeping  of  the  Com- 
mittee of  Ways  and  Means,  and  there  it  remained  until  the  of  10th 
Februal^^  In  all  this  time,  it  would  have  been  very  indecorous  in 
me  to  agitate  a  question  that  was  then  under  the  consideration  of  a 
standing  committee  of  this  House,  whose  report,  whether  favorable 
or  not  to  the  Bank,  could  not  well  be  knovv^n.  There  might  have 
been  no  use  for  my  resolution,  though  I  candidly  own  I  never  had 
any  violent  misgivings  on  that  point.  So  it  was,  I  thought  it  my 
duty  to  wait  for  the  report.  And  this  was  the  more  necessary  and 
proper  in  me,  for  strange  as  it  may  appear,  I  heard  it  whispered 
4iboat,  that,  for  a  neiv  member,  I  had  taken  rather  an  early  start  in 
the  vv'ay  of  debate.  Let  this  be  as  it  may,  I  care  nothing  about  it, 
and  should  not  have  meijtioned  it,  but  I  wish  to  show  my  consti- 
tuents the  aristocratic  and  monopolizing  spirit  of  the  times — the 
dangerous  tendencies  of  this  Government  to  exclusive  privileges. 
L  presume  this  is  a  part  of  the  American  System  and  new  members 
are  to  have  no  share  in  the  discussions  of  the  House  until  they  have 
served  a  regular  apprenticeship!  From  this  monopoly  I  aiso  choose 
to  dissent.  On  the  10th  of  February  the  report  was  made,  and  as 
fioon  as  I  learned  tliat  it  ^vas  favorable  to  the  Bank,  and  I  could  in= 


6 


troduce  my  resolution,  it  was  done.  Of  the  manner  in  which  it  wa§ 
assailed  I  think  I  have  just  reasons  to  complain,  though  I  may  be  mis- 
taken as  to  what  is,  or  is  not,  allowable  by  way  of  trick  in  this 
House.  [  will  repeat,  for  the  information  of  the  people  at  large, 
how  thispiain,  fair  and  reasonable  resolution  was  treated,  and  if  there 
was  nothing  wrong  in  it — if  it  betrayed  no  want  of  respect  for  such  an 
important  an<L  useful  measure — ifit  evinced  no  strong  fears  and  suspi- 
cions of  the  rectitude  of  tlie  Bank — ifit  amounted  to  no  shuffling  in  the 
ranks,  and  a  prodigious  uneasiness  aoout  something  which  was  not 
suited  to  the  public  eye,  vvhy  then  it  h  ail  ■■  ell,  and  I  have  no  right 
to  complain.  But  if  the  people  should  think  difterently,  and  believe 
with  me  that  I  was  badly  treated,  then  I  do  complain. 

I  introduced  the  resolution  on  Friday,  and  immediately  a  gentle- 
man arose  and  asked,  as  it  was  a  very  important  resolution,  that  I 
would  postpone  it  till  the  next  day.  I  readily  consented,  saying  I 
had  no  wish  to  hurry  a  matter  supposed  to  be  of  such  interest'  He 
then  requested  that  I  would  put  it  off  until  Monday,  To  that  I  also 
willingly  consented.  When  Monday  arrived,  the  intermediate  time 
having  been  employed  in  settling  a  plan  of  operations,  the  first  mo- 
tion that  was  made,  upon  calling  up  the  resolution,  was  whether  the 
House  would  consider  it.  This,  I  understand,  puts  the  matter  to 
sleep  at  once,  nay  strangles  it  in  its  birth,  if  carried  in  the  negative. 
Fortunately  tor  me,  the  Speaker  decided  that  the  motion  was  out  of 
order,  as  the  receiving  the  resolution  on  the  previous  Friday  and 
postponing  it  till  Monday  was  such  an  order  as  implied  a  determina- 
tion to  consider  the  proposition.  As  soon  as  this  decision  was  an- 
nounced, another  miction  was  instantly  made  ?-d  lay  the  resolution  on 
the  table.  This,  I  undei  stand,  is  also  another  method  of  giving  a 
qidetm  to  a  measure;  for  if  a  majority  opposed  to  it,  can  once  nail 
the  matter  to  the  table,  the  same  majority  can  and  will  keep  it  there 
forever.  It  can  never  again  comt  up.  The  friends  of  the  resolu- 
tion looked  at  one  another  in  astonishment,  and  then  looked  at  the 
friends  of  the  Bank  with  surprise,  mixed  with  a  very  large  portion 
of  indignant  scornj  and  their  looks  seem  to  say,  can  it  be  possible 
you  will  so  rashly  dare  to  insult  an  intelligent  community?  Whe- 
ther fears  for  the  Bank  or  shame /or  the  act,  or  both  united,  over- 
come the  courage  which  prompted  such  a  procedure,  it  is  diilicult 
to  say,  but  so  it  was  the  motion  was  withdrawn.  The  argument 
then  proceeded,  and  certain  charges  were  preferred  in  such  strong 
colors,  and  with  such  a  powerful  claim  to  the  consideration  of  the 
House,  that  notwithstanding  the  resolution  was  most  violently  op- 
posed at  first,  vet  a  gradual  relaxation  of  resistance  was  manifestly 
perceived  till  finally  a  proposition  v  asmade,  by  the  friends  of  the 
Bank,  to  refer  the  inquiry  sought  by  the  resolution  to  the  Committee 
of  Ways  and  Means— the  very  Committee  that  had^wice  reported 
in  tavor  of  the  Bank,  dnd  iiad  at  this  very  session  recommended  its 
re-incorporation.  Fortunately  the  honorable  member  at  the  head  of 
that  Committee,  and  who  has  been  a  disinterested  friend  of  the  Bank, 
expressed  his  dissatisfaction  at  that  course— said  it  ought  not  to  go 


7 


fo  that  Committee,  and  that  it  was  contrary  to  all  parliamentary 
usage  to  send  any  proposition  to  a  Committee,  a  majority  of  whtmi 
were  opposed  to  the  measure.  *  Thus  the  matter  stands,  and  thougti 
we  have  been  discussing  this  business  for  a  fortnight,  we  hear  nothing 
from  the  Bank — whether  she  wishes  an  inquiry  or  notj  I  therefore 
infer  she  does  not,  and  believing  that  all  the  opposition  which  has 
taken  place  is  with  her  knowledge  and  consent,  I  must,  for  the  sake 
of  putting  this  case  in  a  still  stronger  point  of  view,  beg  leave  to  use 
an-illustration,  free  and  familiar  in  its  character,  and  founded  upon 
such  obvious  and  common  place  ideas  as  will  bring  the  conduct  of 
the  Bank  to  the  full  perception  ot  every  understanding  however  dull 
in  its  comprehension. 

In  order  to  show,  Mr.  Speaker,  what  kind  of  information  has  been 
denied,  I  beg  to  refer  to  the  charges,  how  it  has  been  denied,  I  beg 
leave  to  submit  the  following  plain  picture  :  Suppose,  Mr.  Speak- 
er the  Bank  Charter  about  to  expire,  and  the  President  and  Direc- 
tors, instead  of  sending  a  memorial  for  its  renewal,  should  come  in 
person  into  this  Chamber — all  the  members  being  arrayed  and  seat- 
ed on  each  side  of  you,  as  on  a  judicial  bench,  and  respectfully  ask  for 
an  act  of  re-incorporation.  Suppose  a  member  should  rise,  and  say, 
Mr.  President  and  Directors,  you  have  had  this  great  privilege  for 
twenty  years  :  besides  the  large  interest  which  the  Government 
holds  in  that  Bank,  the  community  are  deeply  concerned  in  know- 
ing whether  you  have  managed  your  affairs  with  prudence,  imparti- 
ality and  honesty,  have  you  any  objection,  seeing  you  have  your 
books  along  w  ith  you,  to  let  us  examine  inro  them,  fully,  before  we 
grant  your  request  t  Would  there  be  any  thing  unreasonable  in  such 
a  proposition  ?  On  the  contrary,  as  a  faithful  public  servant,  is  it 
not  just  such  a  demand  as  the  public  had  aright  to  expect  ?  The 
President  turns  round,  and,  after  consulting  his  Du-ectors  in  a  whis- 
per, replies  to  the  member — "  We  had  rather  you  would  not  make 
the  examination.'"  Whereupon,  suppose,  another  member  should 
rise  in  his  place,  and  (»b&erve  co  the  President— Sir,  you  must  let 
your  books  undergo  an  investigation  \  for  it  is  rumored  all  through 
the  country  that  things  are  not  as  they  should  be  in  your  insti-ution 
— and,  indeed,  you  are  directly  charged  with  fraud  and  corruption. 
If  it  be  so,  you  have  no  right  to  ask  for  another  charter.  If  it  be 
otherwise,  you  have  it  amply  in  your  power  to  make  it  appear ;  and 
such  an  examination,  you  know,  must  greatly  heighten  your  claims  ? 
The  President  turns  round  aaain  to  the  Directors,  and.  after  further 
consultation,  answers — We  would  rather  you  would  determine, 
among  yourselves,  -whether  vou  w^U  CONSIDER  those  charges  : 
we  certainly  plead  n(»t  guilty  to  them,  but  would  prefer  not  to  be 

*  Since  making  this  speech,  a  motion  was  made  to  amend  the  resolution  so 
as  to  take  the  power  from  the  Speaker,  of  appointing-  the  Committee,  the  in- 
variable custom  of  the  House,  and  vesting- it  in  the  House  to  elect  it  by  ballot. 
The  m.otion  was  lost — has  been  reconsidered  and  again  lost.  Thus  it  is  seen 
what  an  uncommon  solicitude  is  indicated  to  avoid  a  fair  and  full  investigation, 
by  the  Bank. 


8 


tried  The  member  says  to  his  fellow  members,  v/e  must  c6nsidir 
this  matter  to  which  ail  reply,  yes,  we  must  consider  !  The  Pre  • 
sident  then  requests  that  the  charges  be  LAID  upon  the  table  \ 
He  is  asked — Are  you  not  afraid  or  ashamed,  for  your  reputation's 
sake,  to  make  such  a  request  ?  Upon  consulting,  a  third  time,  'wi!h 
the  Directors,  he  says — -i  will  withdraw  my  lastrequest|  and  we  are 
now  willing  to  submit  to  an  enquiry,  provided  you  will  let  us  choose 
eur  own  committee.  There  is  among  you  some  members  who,  here- 
tofore, have  been  very  friendly  to  us,  and,  presuming  much  upon  a 
continuance  of  that  kindness,  we  will  leave  it  to  them.  One  of  those 
members  promptly  objects,  and  declares  it  is  not  right  that  the  mat- 
ter should  be  examined  by  those  friends,  and  there  the  matter  rests 
— the  President  and  Directors  still  debating  the  question,  and  re- 
solving to  agree  to  no  other  terms.  And  nov/,  Mr.  Speaker,  under 
this  precise  state  of  facts,  suppose  all  the  good  people  of  the  Union 
were  assembled  on  the  plain  below  the  Capitol,  and  you  were  to  get 
up  and  go  to  the  window  just  back  of  you,  and  proclaim  with  a  loud 
voice  to  the  multitude,  exactly  what  had  occurred  between  the  Di- 
rectors and  Congress,  what  da  you  think  vv'ould  be  their  reply  ?  Just 
imagine,  for  a  moment,  this  state  of  things,  and  again  ask  yourself, 
what  would  be  the  feeling  that  would  run  through  this  great  throng  ? 
I  villi  tell  you,  Mr.  Speaker,  knowing  the  honesty  and  intelligence 
of  this  great  people,  they  would  seed  forth  one  wide,  loud,  long  and 
thundering  shout — ^Let  them  go  home  !  nay,  drive  them  from  your 
Hall  !  Such  paltering  with  a  just  and  honest  right  deserves  no  coun- 
tenance ;  and  \vhatever  may  be  tiie  suliering  which  they  so  artfully 
predict,  among  their  ten  thousand  debtors,  let  it  come,  rather  tlian 
sacrifice  the  firm  purposes  of  principle  and  integrity  ^vhich  should 
ever  belong  to  this  boasted  Government. 

Mr.  Speaker,  if  one-tenth  part  of  the  charges,  thus  preferred 
against  the  Bank,  had  been  made  against  one  of  the  Departments  of 
the  Ivovernment"— what  an  uproar  !  Commitiees  upon  commitFecs 
would  have  been  appointed  ;  his  office  would  have  been  ransacked, 
down  to  the  very  envelopes  of  his  letters,  and  nothins:  would  have 
been  left  undone  to  ferret  out  the  fraud,  if  any  existed  :  and  shall 
the  Bank  be  less  scrupulously  watched  ?  A  great  monied  aristo- 
cracy, holding  the  fortunes  of  individuals,  and  perhaps  the  destinies 
of  the  Government  within  its  grasp  !  Shall  such  a  tremendous  ma- 
chine, to  give  it  no  worse  name,  be  so  sacred,  as  that  the  vulgar  eye 
must  not  gaze  upon  it.^  Wo  will  certainly  betide  that  hour,  when,  from 
either  dread  or  doubt,  this  Government  relinquishes  its  control  over 
the  Bank  of  the  U.  States.  If  it  were  situated  here,  Mr.  Speaker, 
who  could  possibly  object  to  a  committee  going  into  its  office  and  look- 
ing into  its  management?  and  shall  the  distance  of  100  miles  present 
suck  an  obstacle  to  the  enquiry,  as  that  it  must  be  abandoned,  for 
fear,  they  may  not  obtain,  at  this  session,  another  twenty  years  ex- 
clusive sweep  over  the  great  monied  affairs  of  this  Union,  especially 
when  four  years  of  their  old  charter  is  not  yet  expired  What  must 
be  the  dreadful  and  fatal  nature  of  that  infatuation  that  seems  st> 


9 


vjager  to  fix  the  counn-j  under  another  terin  of  bondage  to  the  most 
inexorable  tyrant  that  can  ever  possibly  sway  its  sceptre  in  this 
country?  A  dominion  that  strikes  at  the  very  subsistence  of  every 
man  in  the  nation  I  Can  we  who  have  been  sent  here  to  guard  every 
interest  of  the  commanlty,  who  are  well  paid  for  our  services,  whcf 
are  provided  with  every  comfort  and  convenience  for  our  delibera- 
tions, consistently  excuse  ourselves  to  the  country  if  we  flinch  from 
a  duty  demanded  by  every  cctnsideration  of  prudence  and  caution, 
because  it  may  be  attended  with  labors  and  delay,  and  because  that 
delay  may  work  an  injury  to  a  highly  favored  few?  As  to  the  pas- 
sage of  the  resolution  there  is  not  a  person  in  this  House  more  indif- 
ferent to  its  fate  tiian  myself.  I  care  not  whether  it  is  adopted  or 
not.  The  consolation  remains  to  me,  and  with  it  I  am  amply  satisfied, 
that  in  submUting  it  to  the  House  I  have  discharged  an  honest  duty. 
It  is  nowv  lef c  to  others  to  do  with  it  whatever  they  may  think  pro- 
per. Having  made  these  preliiiiinary  remarks,  I  shall  proceed  more 
immediately  to  an  examinavion  Oi  the  argument  mads  by  the  gentle- 
man, [Mr.  McDuffie,]  from  South  Carolina.  Before,  however,  I 
proceed  to  this  branch  of  niy  subject  I  hope  I  may  be  allowed  to 
make  one  remark,  intended  by  no  means  to  give  oSence.  Some- 
where in  the  gentleman's  observations  he  said  he  v/at>  glad  he  had 
quit  the  pro Fc'SiO)!  ofliw  but  I  can  assure  the  gentleman  the  pro- 
fession ofiawh;-;:  not  f;uit  him,  for  a  more  lawyer-like  speech  I  pre- 


sume h'^  in  his  life.    And  when  I  say  this.  I  have  cv- 

ierencv  inge^VL^ty,  which,  being  the  offspring  of  a 
sudden  "e.-ses  it: -if  more  to  the  fancy  than  the  judg- 
ment, ''th  a  qi;'  and  Hurrying  action  seems  to  say 
pres  ;  ,  \    .  i  vone. 

I  (Iw  1  '  \  i    ^       ^'^dly  into  the  merits  of  the  Bank  question 


at  this  rime,  I  lu>pe;:-n  -i.. other  occasion,  to  probe  that  matter  to  the 
very  bot'oni.  I  mc  wish  to  explain  the  nature  of  the  charge;^ 
wliich  I  have  brou.yh:  a-^rainst  the  Bank,  occasionally  throwing  out 
such  reflections  as  are  obviously  connected  wdth  the  facts,  and  well 
calculated  to  stamp  those  facts  upon  the  mind  with  a  steadfast  and 
abiding  impression.  A  few  of  tho?e  general  ideas  at  this  part  of  our 
discu'ision  v/ill  not  be  unprofitable,  especially  as  I  design  what  I  am 
now  Pcbout  to  say  more  for  the  public  ear  than  for  the  b^nent  of  this- 
House.  I  xnW  candidly  confess  I  am  extremely  anxious  to  use  my 
present  station  to  speak  to  the  people  on  the  subject  of  this  destroying 
Bank,  and  to  urge  them  by  every  c(msideration  which  can  forcibl) 
appeal  to  the  love  of  country,  to  a  regard  for  their  government,  to 
a  respect  for  liberty  and  equal  rights,  to  their  hatred  of  monopolies, 
to  their  disgust  for  extortion,  to  their  horror  of  oppression  and  theit 
detestation  of  privileged  orders  in  this  happy  country,  to  pause  be- 
fore they  permit  the  continuance  of  an  institution  involving  withiii 
its  influence  and  control  all  the  foregoino;  relations. 

The  Bank  of  the  United  States,  so  called,  to  give  it  the  advantage 
of  a  great  name,  is  located  at  Philadelphia,  and  has  twenty-seven 
branches  scattered  throughout  the  Union.  The  whole  of  this  immense 


10 


iTioney  making  machine  belongs  to  a  few  privileged  individuals,  who 
tiave  an  express  assurance  that  no  similar  establishment  shall  be  erect- 
ed by  the  General  Government  in  the  United  States.  These  are  some 
of  the  leading  general  principles  of  this  institution. 

1.  The  mother  Bank  will  not  receive  the  bills  of  her  branches 
without  a  premium. 

2.  The  Branches  will  not  receive  those  of  the  mother  Bank  with- 
out the  same. 

3.  The  Branches  will  not  receive  t^e  bills  of  one  another  without 
the  same.  Now  what  is  the  consequence  of  this?  These  favored 
few  have  a  monopoly  of  all  the  monied  transactions  of  the  Union. 
Their  capital  is  35  millions  of  dollars,  and  this  they  lend  out  at  a 
certain  interest  and  then  set  out  agents  to  shave  their  own  paper. 
They  first  make  a  profit  by  lending  their  notes  and  then  a  profit 
by  paying  them  off  at  a  discount.  Can  any  practice  be  more 
dishonest.  If  an  individual  by  reason  of  his  wealth  were 
to  do  this,  vvere  to  impose  upon  the  necessities  of  his  poor 
neighbor  to  whom  he  had  given  his  note,  by  shaving  it  af- 
terwards, he  would  be  justly  esteemed  a  dishonest  man.  The 
fact  is,  there  are  principles  allowed  to  this  Bank  which  the 
consent  of  all  honest  men  have  branded  with  infamy  when- 
ever practised  by  individuals.  And  it  is  permitted  to  do  that 
with  impunity  which  a  sound  morality  has  universally  condemned  in 
the  ordinary  transactions  of  men.  But  the  most  intolerable  privi- 
lege is  yet  to  be  told;  not  satisfied  with  being  allowed  to  lend  and 
shave  their  own  notes,  the  government  actually  puts  into  their  pos- 
session the  whole  of  its  revenues,  amounting  to  twenty-five  millions 
of  dollars  to  speculate  upon  as  they  may  think  proper.  There  is 
scarcely  any  man  who  does  not  know  that  under  our  system  of  taxa- 
tion the  most  of  it  is  paid  by  the  consumers  of  the  country,  and  they 
are  generally  the  farmers.  Commerce  forms  the  subject  of  revenue 
which  the  merchant  i??  the  first  place  pays,  but  which  he  afterwards 
compels  the  consumer  to  re-imburse  v/ith  an  increase  of  profit.  All 
this  flows  silently  and  imperceptibly  into  the  Custom  House  and  the 
government  not  satisfied  with  having  exacted  it  from  the  hard  earned 
labor  of  the  consumer,  by  reason  of  a  most  ruinous  duty  upon  the 
articles  of  h4  consumption,  but  they  must  suffer  it  to  pass  into  the 
hands  of  a  few  highly  favored  stockholders  to  undergo  an  additional 
process  of  extortion.  If  the  Collector  of  the  revenue,  the  public 
officer  of  the  government,  were  to  lend  out  the  taxes  and  speculate 
upon  them  after  they  were  collected,  for  his  own  private  benefit, 
every  body  would  cry  out  shame  upon  such  an  officer,  and  he  would 
be  hurled  from  his  post  with  just  indignation.  And  yet  the  govern- 
ment directs  him  to  pay  the  taxes  into  the  Bank  of  the  United  States, 
and  the  moment  it  gets  there,  it  is  set  afloat  m  all  directions  upon 
lending  and  speculating  contracts,  and  these  Bank  gentry  realize 
not  less  than  six,  and  often  as  high  as  twelve  per  cent-  upon  the  bui-- 
Ihens  of  the  country  thus  drawn  into  their  coflers.  Let  us  illus- 
trate bj  a  fiimiliar,  but  striking  example  this  process  of  extortion. 


11 


The  Collector  of  Charleston  receives  from  the  merchants,  and  thej  . 
from  the  consumers  of  South  Carolina,  one  million  of  dollars  in  re- 
venue, be  dare  nor  use  it  himself  in  any  mode  of  speculation,  but  is 
obliged  to  deposit  it  in  the  Branch  Bank  of  the  United  States  at  that 
place.  That  Bank  then  writes  a  short  letter  in  true  mercantile  style 
to  a  sister  Branch,  say  in  New  York,  something  like  this — '^Have  to 
advise  you  of  one  million  to  credit  of  government  (the  hard  earnings 
of  the  poor  Carolinians)  value  at  sight,  and  expect  due  honor/-  This 
is  enough,  a  draft  is  drawn  in  favor  of  some  cotton  buyer  who  ^^  ants 
funds  in  Charleston  at  from  one  to  two  per  cent,  and  the  Branch 
at  New  York  makes  right  ojf  from  ten  to  twenty  thousand  dollars 
from  the  Aniericun  Sy  stem  screwed  hard  down  upon  the  honest 
Carolinians-  At  the  same  time  the  same  Branch  at  New  York  in- 
forms her  sister  Bank  at  Charleston^  that  she  too  has  ''ten  millions 
taken  in  like  manner,  which  can  be  drawn  for  in  favor  of  merchants 
of  Charleston,  who  want  to  purchase  go jds  in  New  Yo.k:"'  accord- 
ingly it  is  done,  and  the  Charleston  Branch  '-pockets^'  from  one  to 
two  hundred  thousand  dollars  more,  by  what  would  be  called  on  the 
turf  "cress  jockying."  And  thiis  operation  is  continually  going  on  be- 
tween the  mother  Bank  and  her  Branches,  all  over  the  U.  States,  upon 
twenty  five  millions  ot  government  money.  It  is  so  mean  and  ridi- 
culous a  species  of  legalized  swindling  that  while  it  resembles,  ii  is 
even  v^  orse  than  the  knavery  of  the  two  Dutch  lawyers  practised  upon 
iheir  unsuspecting  clients  when  one  of  them  v.-rote  to  the  othor,  in 
true  Dutch  style: 

"  I  haf  von  fat  goose,  I  saiind  you  anoder 
You  pluck  de  von  and  I'll  pluck  de  oder."  • 

Most  people  kriow  nothing  of  the  oppression  and  grinding  esac  - 
tions  thataie  spcr.  tly  but  constantly  operating  upon  the  community 
by  means  of  t'  ..  monopoly  granted  to  the  Bank  of  the  United 
States.  Should  not  Congrvi^ss  then  hesitate  and  examine,  and 
examine  and  hestitate  1;  ng,  very  long  before  they  perpetuate  such  a 
blight  upon  -  iie  nsn^g  pi\)?penry  of  this  vasr  aiid  growin2:  country? 

With  a  >it  v.  t!-  an  tst  tiie  mad  career  into  which  the  Bank  is 
plunging  its  votaries,  the  strong  direction  of  vrhich  is  U)  go  in,  blind 
fold,  for  its  re-establishment.  I  have  preferred  the  charges  so  anx- 
iously sought  to  be  evaded,  with  a  hope  that  enough  will  be  found  to 
cool  dovv'n  the  ardor  of  its  most  fastidious  advocates.  To  these 
charges  I  will  umw  call  the  attention  of  the  House.  ,The  first  is,  'Hhe 
issue  of  r,000,000,  a:.d  more,  of  Branch  Bank  orders  as  a  currency. 
The  President  of  the  Bank  admits  seven  millions  issued."  The 
gentleman  ^rom  South  Ca-olina  asks,  '-what  is  this  charge?  That 
the  Bank  has  forfeited  its  charter!  And  how  has  it  forfeited  it.^  By 
doing  that  svhich  the  charter  itself,  in  terms,  authorizes  it  to  do:  b\ 
issuing  ijilh  of  exchange:'^  The  very  object,  he  adds,  for  which 
the  Bank  was  instituted,  its  most  important  and  beneficial  operation, 
•'the  dealing  in  exchanges.^''  Now,  idle  as  he  conceived  the  charge, 
I  find  that  he  and  thePrssident  of  the  Bank  are  at  points  as  to  th^s 


1^ 


character  of  this  currency,  and  if  he  is  right,  the  Presiderit  is  wroni^ 
and  coiisequentiy  has  attempted  to  impose  upon  the  government  fh 
accounting  for  this  issue.  I  hold  in  my  hand  a  correspondence  be  - 
tween the  President  of  the  Bank,  and  the  late  Secretary  of  t\w. 
Treasury,  Mr.  Rush,  on  the  subject  of  this  very  currency.  One 
of  the  receivers  of  public  money,  in  the  west,  had  vvTitten  to  Mr. 
Hush  to  know  if  he  should  receive  these  orders  in  payment  of  pub  - 
lit  debts.  Mr.  Rush  immediately  wrote  to  the  President  of  the 
Eank  to  explain  the  character  of  those  drafts,  so  as  to  enable  the 
Department  to  judge  how  iar  they  may  be  legally  received  in  pay- 
ments to  the  United  States.  To  this  enquiry,  the  President  an- 
swered .••—"You  are  aware  that  an  expression  in  the  Charter  of  the 
Bank,  has  been  construed  as  implying  that  the  notes  issued,  should 
be  signed  by  the  President  and  Cashier.''  Though  this  is  the  ex- 
press and  unet'uivocal  direction  of  the  Charter,  which  no  sophistry 
can  evade,  yet  the  President  thinks  it  was  a  wrong  interpi  etation, 
which  would  "-greatly  impair  the  usefulness  of  the  Bank,  but  having 
been  adopted,  it  was  deemed  inexpedient  to  depart  from  it  without 
a  previous  applicAtion  to  Congress."  The  application  was  made 
'Ho  authorize  the  signature  of  notes  by  other  ofiicers  than  the  Pre- 
sident and  Cashier,"  and  was  promptly  rejected.  The  President 
then  states  that,  having  made  a  "full  exposition"  to  the  govern- 
ment, of  the  inconveniences  under  which  the  Bank  labored, 
and  perceiving  no  prospect  of  avoiding  them  but  by  its  own  re- 
sources, the  institution  found  itself  in  a  position  where  it  became  ne- 
cessary either  to  repMimce  the  great  purposes  of  its  creation,  or  to 
seek,  among  its  other  acknowledged  powers,  the  means  of  accom- 
■plisiiing  them."  Here  it  will  be  necessary,  to  keep  distinctly  in 
view,  that  the  great  evil  complaiiied  of  Vv'as  the  want  of  an  authority 
to  sign  bills  by  other  than  the  two  principal  ofiicers  of  the  Eank,  antl 
i\vAt  the  bills  thus  wanted  vv'ere  small  bills  for  a  ''circulating  medi- 
um," (not  bills  of  exchange)  as  the  President  expresses  it,  and  which 
circulating  medium  "was  defeated  by  the  absolute  and  physical  im- 
possibility of  preparing  the  notes  agreebly  to  the  prevailing  inter- 
pretaiion  of  the  Charter."  -  Now,  v/ith  this  idea  present  to  the 
mind,  let  us  see  what  was  done.  The  President  continues:  "To 
remedy  this  evil,  the  officers  of  the  Bank  might  have  adopted  the 
use  of  a  fac  simile.  But  to  this,  there  was  the  insuperable  objec- 
tion that  the  signature  was  not,  in  fact,  what  it  professed  to  be,  the 
manual  execution  by  the  officer  in  the  accustomed  fornj."  In  otlier 
words,  it  would  not  be  signedhj  the  President  and  Cashier,  as  is 
indispensably  required  by  the  Charter.  So  far  so  good,  would 
theytiad  been  as  mindful  of  the  Charter  in  other  respects,  but  we 
shall  see  presently,  careful  as  they  were  of  this  instrument  in  this 
particular,  they  violated  a  provision  of  it  which  actually  lay  along 
side  of  this  very  requisition.  Bent  then  upon  a  remedy  which  shouki 
effect  a  double  purpose,  that  of  curing  the  evil  in  their  own  way, 
and  treating  Congress  with  contempt  for  rejecting  their  proposition,, 
^nd  without  showing  the  right  "among  their  acknowledged  pow- 


13 


r'cs"'  vvhicli  they  said  iliey  could  find,  Aa- i^^suinii;  these  check?,  thej 
resclved  upon  doiiii^  it  all  hazards.  FeariVd,  however,  thiat  it 
miglit  make  some  stir  in  the  conimiuiity,  they  deterniined  to  have 
the  measure  bolstered  up,  bywiiat?  Not  an  actor  Congrt.is,  Not 
a  permission  by  the  people  tiu  cugh  their  representatives,  but  by  the 
of  three  distinguished  lawyers  I  *^In  adopting,  (said  the 
Pre?ident.)  a  neio  measure,  it  was  tlusiij^ht  most  pradent  to  proceed 
^.vith  great  caution^  and  to_obtain  the  sanction  of  the  highest  pro  - 
fessional authorities!  The  subject  has,  accordingly,  been  siibmitted 
TO  Mr.  Binny,  Mr.  Webster,  and  Mr.  V/irt*'!  Merciful  heavens! 
ihie  powers  of  this  great  government  in  the  keeping  of  lawye-s  ^ 
nights  acquired,  charter  enlarged,  powers  extended  by  legal 
<;pinions!  The  opinion  of  Congree^s  not  equal  to  the  opinion  of  Mr 
J  jinny,  Mr.  Webster,  and  Mr.  Wirtl  Nov/,  Mr.  Speaker,  if  tiiei-e 
vvas  no  other  ground  of  suspicion  than  this  very  case,  against  the 
Bank,  vvould  you  not,  from  sheer  curiosity,  like  to  have  a  peep  inta 
i  heir  books  to  see  what  tliey  gave  these  very  genllemen.  for  thi^ 
very  opinion?  They  acquired  a  great  power  by  it,  it  must,  there- 
';')re,  have  been  a  tremendous  feel  But  one  thing  I  believe,  if 
'ivise  gentlemen  are  like  most  lawyers,  the  Bank  can  have  that  same 
opinion  reversed,  whenever  it  suits  their  interest,  for  the  same  fee, 
let  it  be  great  or  small.  These  advisers  said  they  '^were  unable  to 
<iiscover  any  legal  objection  to  tlie  plan  proposed^  and,  since  it  wiH 
facilitate  the  exclianges  of  the  country,  and  secure  tli  public  and 
ih.e  Bank  from  frauds,  it  seems  as  expedient  as  it  is  lawful.''  This 
conclusion  i^  arrived  at  in  a  short  argument  of  little  moj-e'than  haU' 
a  page,  in  which,  not  a  reason  in  its  favor  is  drav/n  from  thct 
!".strument,  but  the  riglit  wholly  justified  from  thse  necessi'^- 
and  convenience  of  the  case,  and  the  usages  of  other  Banks. — - 
in  their  own  words— *^it  had  been  a  former  practice,  and  that  such 
practice  is  without  objection,  is  to  be  inferred  from  its  long 
continuance.-'  Moreover,  "it  is  an  ordinary  banking  operation 
io  which  their  general  facidties  are  perfectly  competent.-'  This  is 
a  fair  specimen  of  the  logic  of  the  three  lawyers.  And,  Mr.  Speak- 
«T,  I  confess  the  last  argument  is  the  widest  and  most  overv/heiming-' 
one  that  can  possibly  be  used  for  a  Bank;  for,  if  under  their  gc/l€r^i^ 
facidties  they  can  acquire  power  so  as  to  legalize  their  actrf,  tiiere  is 
iiothing  (out  of  the  line  of /w?22.sif  transactions)  fney  e-vn  uot  do.  if 
uiey  are  not  greatly  belied.  This  opinion,  with  the  assurance  of  tise 
iVesident  that  tliese  checks  v/evs  purposely  ^nade  to  rescinbic  nofes^ 
ii'S  near  as  possible,  ''to  secure  uniformity  of  appeanmre  tlic  rest 
•>r  the  paper  issued  by  the  Bank,"  and  that  if  received  on  account  v,\ 
(he  government,  '-tliey  elfectiially  bind  tl  »•  Bank,  and  vrill  be  paid 
"m  the  same  manner  as  notes  of  similar  deaorninatio:vs  r:lo:nc  I  bv  t!;e 
President  and  Cashier,"  satisfied  the  Trear-".rc".  'k\  rnvl.  f  jr  ho 
replied  to  the  President  tluit  the  Receiver.-:  ' .  ••  ;,v  , 

■ake  them,  inasmuch  '-as  you  state  t\\-:y  v  \\\  i  ;  '  ^.-.m-? 

n;anner as  notes  signed  by  the  Fieri!:'^  ■       •  '      _  'V'.:    H  -; 

rciiectioDS  that  suoay^-f  j i5eiv'>  u;;.>u  :! .  : :  :r\o\u]::\:.  >■  ar^j 


fnese:  if  this  was  issuing  ''bills  of  exchange'^  or  '^dealing  in  ex^ 
changes"  in  terms  of  the  charter,  wherefore  the  necessity  of  going  to 
Congress  for  another  remedy  and  as  it  has  answered  such  a  wonder- 
ful purpose  and  saved  them  from  ^'renouncing  the  great  purposes'* 
of  the  Bank,  why  not  have  adopted  it  at  first  by  doing  that  which  tlie 
charter  itself,  in  terms,  authorized  to  be  done?    Wherefore  the 
doubts  of  the  Directors  that  "in  adopting  a  ne?^  measure  it  was  pru- 
dent to  proceed  with  great  caution?''^    Why  necessary  to  consult 
the  highest  legal  authorities  upon  "the  very  object  for  which  the 
Bank  was  instituted?"    Why  say  they  were  intended  for  a  ''circu- 
lating medium"  if  they  are  bills  of  exchange?    Does  not  every  one 
know  that  bills  of  exchange  can  never  be  a  circulating  medium  i 
that  the  charter  and  laws  which  regulate  their  creation  require  that 
their  march  should  be  in  a  direct  line  and  quick  step  to  their 
place  of  destination,  that  there  must  be  demand  and  acceptance, 
or  refusal  and  notice,  and  whenever  once  paid  they  can  never 
be  re-issued?    Why  the  doubt  of  the  Tleceiver  of  Public  Moneys  ex- 
pressed to  the  Secretary  of  the  Treasury?  Why  his  doubt  to  the  Pre- 
sident of  the  Ba!ik?  And  why  the  particulur  pains  of  the  President  to 
satisfy  him  that  they  were  made  to  resejnble  and  to  answer  the  pur- 
pose of  bank  notes  as  a  medium  to  supply  the  deficiency  which  a  physi  - 
cal impossibility  of  signing  small  bills  had  produced?  But  to  put  tliis 
matter  beyond  all  doubt  1  have  another  correspondence  between 
the  President  oi  the  Ea.nk  and  the  present  Secretary  of  the  Treasu- 
ry, as  late  as  last  month,  in  which  he  expressly  states  "the  branch 
drafts  being  in  practice,  substitutes  for  branch  notes,  are  considered 
in  all  respects  the  sami.''^    So  that  I  conclude  they  are  not  bills  <X 
exchange,  and  i  f  not  bills  of  exchange,  the  gentleman  from  South 
Caroli«a,  resting  their  legality  solely  upon  that  power  in  the  charter, 
a  clear  case  of  a  violation  of  that  instrument  is  made  out,  saving  and 
reserving  always  the  powerful  opinion  of  the  aforesaid  three  gentle- 
men of  the  bar.    Bat,  ?-'{v\  the  gentleman,  these  checks  are  said  to 
be  contrary  to  the  charter  of  the  Bank,  not  because  they  are  drawn 
by  the  oiTicers  of  Branch  Banks,  not  because  they  are  drawn  on  the 
Cashier  of  the  Mother  Bank,  but  "because  the  Bank  has  been  so 
atrocious,  so  daring  as  to  paint  the  paper  on  which  these  drafts  are 
drawn."    hi  this  argument  I  think  every  body  will  perceive  thatmy 
^harge  of  professional  ijjgonuitv  against  the  gentleman's  speech  is 
not  altogether  gratuitous,  for  his  must  be  a  dull  imagination  that 
does  not  see  t;;e  lawyer  shadowed  out  in  this  mode  of  v.orrying  a 
subject.    Is  the  gentleman  serious  v.hen  he  makes  this  round  and 
rioid  declarati  >n,"that  |;aititi]ig  the  bills  blue  'ms  tjie  whole  sMbstance 
of  the  char-?:!-  ?  '    If  1  tii-^  ight  the  gentleu'.an  in  earnest  1.  would  give* 
'lis  ar2:uineijt  a  seriaus  consideration,  but.as  it  is  I  will  merely  a>5k 
him  v/hy  tl\o.?<i  bills  of  exchange  were  painted  blue,  or  why  painteil 
;it  all?    Ijid  he  ever  see  bills  of  exchange  painted  before?    Or  is  it 
usual,  to  piiii^t  bills  of  exchange?    Is  it  common  to  make  bills  of  ex  - 
change "rcseusble  bank  notes,"  and  if  not  common,  for  what  pur^ 
'Mjse  were  these' made  after  the  simili  tad 2  of  the  nat£S  issued  by  the 


15 


Bank?  If  satisfactory  answers  are  not  given  to  these  interrogaf^-* 
ries,  I  must  he  excused  for  saying  the  liank  had  some  deceitful  pur^ 
pose  in  view, — some  design  of  a  fraudulent  nature  was  intended.— 
And,  Mr.  S])eaker,  let  me  tell  you,  there  was  a  cheat  in  this  thing, 
and  that  it  succeeded^  for  so  artfully  were  these  checks  made  to  re  - 
j-enib!e  Bank  bills,  that  there  is  not  one  man  in  ten  thousand  ha? 
ever  noticed  the  difference,  and  they  have  been  insidioufily 
circulating  since  July  1827,  like  the  wolf  in  sheep's  cloth- 
ing, until  1  hey  have  nearly  robbed  the  South  and  West,  as 
will  hereafter  appear,  of  all  their  gold  and  silver.  Before  I 
close  this  head  I  beg  leave  to  read  one  clause,  and  the  only 
one  which  can  be  found  in  the  charter  which  relates  to  issuing 
of  Bank  bills.  The  only  power  they  have  for  making  bonds',  bills 
or  notes  (and  in  the  charter  these  two  last  are  used  as  synonymous) 
is  derived  from  this  section,  none  other,  I  boldly  say  it,  can  be 
found,  viz:  "  That  said  corporation  shall  not  make  any  bill  obliga- 
tory, or  of  credit,  or  other  obligation  under  its  seal,  for  the  pay- 
ment of  a  sum  less  than  five  thousand  dollars.  And  i\\e  Bills  ov 
Notes  which  MAY  be  issued  by  order  of  the  said  corporation^ 
SIGNED  by  the  PRESIDENT  and  COUNTERSIGNED  by 
the  principal  CASHIER,  or  Treasurer  Ifiereof,  promising  the 
payment  of  money  to  any  person  or  persons,  his,  her,  or  their  order, 
or  to  beariu%  although  not  under  the  seal  of  the  said  corportioil, 
shall  be  binding  and  obligatory  npon  the  same,  in  like  manner^  and 
with  like  force  and  effect^  as  upon  :iny  private  person  or  persons,  if 
Issued  by  h.im,  her,  or  them,  in  his,  her,  or  their  private  or  natural 
capacity,  and  shall  be  assignable  and  negotiable  in  like  maimer  as  if 
they  v/ere  so  issued  by  suclr  private  person  or  persons  ;  THAT  IS 
TO  SAY,  tliose  which  shall  be  payable  to  any  person  or  persons  his, 
her,  or  their  order,  shall  be  assignable  by  endorsement,  in  like 
manner  and  with  the  like  effect  hh  foreign  bills  of  exchange  noir  art; 
and  tliose  which  arc  payable  to  bearer  shall  be  assignable  and  iicgo- 
tiable  by  ilelivery  only  .*  Provided^  that  all  bills  or  notes  SO  to  br^ 
issued  by  fiaid  corporation,  (^aud  if  there  had  been  any  other  kind 
vhey  would  surely  here  have  been  mentioned,)  shall  be  made  payable 
ON  DEMAND,  other  than  bills  or  notes  for  the  payment  of  a  sum 
not  less  taan  on6  hundred  dollars  each,  and  payable  to  the  order  oL 
some  person  or  persons;  which  bills  or  notes  it  shall  be  lawful  for 
said  coi'poration  to  make  payal>le  at  any  time  not  exceeding  sixty 
(}a.ys  from  the  date  thereof.*'  Here  then  is  the  law,  the  whole  hvw 
and  the  only  law,  that  relates  to  tlie  Bank's  pov/cr  of  making  o; 
issuing  Bills  or  Notes:  if  there  is  any  other,  let  it  be  produced.  Bv 
this,  as,  as  I  stated  before,  it  will  be  seen  t'hat  though  the  Bank 
would  not  issue  /ce  simile  bills,  because  they  would  lack  tvinmanif- 
dl  execuliDn  of  the  President  and  Cashier,  as  required  by  the  above 
section- -yet  they  could  au'thiiriz.e  other  persons  to  SIGN  the  Bills, 
whose  slguaturas"^  would  be  aciually  a  less  cDmpliance  with  the  law 
than  ilia'sC  of  the/ac  sbnile !  It  is  for  the  J^ank,  and  pevliaps  it  be- 
longs only  U>  the  ambidexterity  of  a  Bank.^  io  recanGlle  such  iiion- 
sistency. 


16 


The  <^econd  charge  is  usury  on  broken  bank  notes  in  Kentucky 
Uiid  Ohi  )5  they  amounted  to  S900,000  in  Ohio,  and  nearly  as  mucl;t 
hi  Kentucky.  (See  2  Peters'  Reports  p.  527",  for  an  example  of  the 
cases.) 

This  charge,  I  fully  expkvined  in  my  introductory  remarks,  when 
Ihe  resolution  was  presented.  But  the  gentleman  says  he  does  not 
quite  understand  this  charge,  that  there  was  a  plea  in  the  case,  and 
a  demurrer  to  that  plea,  that  a  demurrer  is  made  merely  to  settle 
a  principle  and  decides  no  facts.  Now  Sir,  what  does  ail  this 
mean,  has  the  gentleman  come  to  the  point  ?  Is  not  his  reasoning 
calculated  to  divert  this  House  from  the  plain  and  obvious  nature 
of  the  case  }  What  is  it  }  The  Bank  loaned  a  man  by  the  name 
of  Owens  S5, 000,  and  instead  of  letting  him  have  the  hard  money, 
or  those  bills  that  were  equal  to  it,  they  paid  him  out  depreciated 
Kentut  ky  bank  bills,  one  hundreil  dollars  of  which  v/ere  only  Avorth 
lifiy-four  of  good  money,  and  not  satisfied  v/ith  this  enormous  profit 
they  ir^ade  Iiim  promise  tcs  pay  6  percent,  interest  on  the  whole 
amount  of  S5000.  Yihtn  the  note  fell  due  they  sued  him  and  hi;^ 
securities,  these  latter  plead  the  above  facts  in  the  case,  and  required 
of  the  court  to  say  whether  it  was  not  USURY  The  Bank  de- 
murred to  the  plea,  th^t  is,  they  admitted  the  facts,  but  denied  that 
such  facts  would  amount  to  usury.  The  Supreme  Court  declared 
that  such  iacts  did  amount  to  usury,  and  the  Bank  lost  its  money. 
Now  we  all  know  that  if  the  facts  could  have  been  disproved,  the 
Bank  would  have  vvithdrawn  its  demurrer,  and  requested  a  trial  by 
jury.  This  would  have  been  granted  in  a  moment,  but  knowing 
full  we'll  that  the  facts  were  true,  she  knew  it  would  be  useless, 
;rad  she  has  acquiesced  in  the  judgment.  The  very  note  to  the 
*:ase  which  the  gentleman  read,  and  which  is  nothing  more 
than  ;i  gratuitous  apology  for  the  conduct  of  the  Bank,  made 
in  t!ie  great  abundance  of  the  Reporter's  kindness  for  an  in 
sfiiution  situated  in  his  own"  City,  shows  clearly  the  truth 
of  the.  plea,  and  only  palliates  the  fraud  of  the  Bank  by  saying 
lisat  the  Bank  had  other  bills  like  those  she  loaned  to  Owens, 
and  that  she  got  full  pay  out  of  the  Kentucky  Bank.  This  might  be 
the  case  or  not,  but  I  rather  expect  he  must  Ijave  obtained  his  infor- 
mation from  the  Bank,  and  if  so  it  is  not  good  testimony;  but  evei^ 
H"  it  was,  it  only  goes  to  show  that  Banks  can  make  debtors  bleed 
when  they  have  lost  all  life  as  to  other  creditors.  It  will  not  do  for 
gentlemen  to  try  to  evade  the  force  of  this  case;  it  is  too  stubborn, 
and  1  only  adduced  it  by  way  of  example  to  show  the  nature  of  their 
extortions  ujion  the  .Jiecessities  of  the  people.  What  they  have 
sione  to  poor  Owens,  they  have  done  perhaps  to  thousands,  who  havp 
no  d(?abt  sunk,  they  and  their  suffering  families,  into  the  most  abje;:  r 
'and  squalid  poverty,  i  have  stated  that  they  lent  out  g900,000  of  liK'e 
vnoney  in  Ohio,  and  nearly  as  much  in  Kentucky.  I  wish  to  km  ^ 
if  this  be  true,  and  cannot  well  ascertain  it  but  by  an  examination 
into  their  affairs;  and  if  found  to  be  true,  if  Oicre  is  one  honest  ma)i 
in  the  world,  mucli  less  in  this  boasted  la.nd  cdMiberly,  that  will  sny 


this  Bank  should  be  re-chartered,  then  I  confess  I  greatly  mistake 
the  human  heart,  an  I  my  opinions  are  to  be  trusted  only  under  due 
and  proper  caution.  But,  says  the  gentleman,  -'this  transaction 
happened  ten  years  ago,'*  and  then  continues:  "this,  it  seems,  is  the 
day  when  all  the  sins  of  the  Bank,  for  these  sixteen  years  past,  are 

be  brought  up  in  judgment.  If  the  gentleman  had  gone  beyond 
the  year  1819,  he  n^ight  have  brought  forward  much  higher  charges 
than  this."  I  coul  I  not  possibly  have  asked  stronger  concessions 
than  these  against  the  Bank.  The  Bank  was  chartered  in  April, 
1816,  and  never  w-mtinto  operation  till  January,  1817.  From  the 
moment  it  started,  it  began  tofaulter,  and  in  the  short  term  of  two 
Tears,  according  to  the  gentleman's  own  admissions,  high  charges 
could  have  been  bnmght  against  it.  Indeed  such  a  confession  has  no 
inei'it  in  it,  for  I  h;ive  before  me  the  record  of  a  committee  of  this 
House,  who  were  sent  to  examine  it  in  1819,  and  which  affirms  the 
fact  that  the  Bank  had  violated  its  charter,  and  ought  to  be  abolished c 
Of  course,  beyond  1819  I  ought  not  to  go,  for  up  to  that  tim.e  its 
best  friends  had  pronounced  it  infamous.  In  looking  for  objections 
against  it  now,  alt  charitable  accusers  should  date  its  misdeeds  and 
search  for  its  delinquencies  subsequent  to  the  day  of  its  condemna- 
tion, and  when,  for  the  best  interests  of  the  country,  it  ought  to 
iiave  been  executed.  A  pardon  saves  and  forgives  all  previous 
-crimes.  Then,  it  seems,  in  a  very  short  time  after  it  was  released^ 
it  was/ound  at  its  dirty  tricks  cigain;  for  if  this  lending  something 
like  two  millions  of  dollars  at  fifty  per  cent,  commenced  ten  years 
ago,  it  is  obvious  to  every  one  that  the  Bank  was  nothing  profited  by 
the  trial  it  had  received,  and  for  aught  that  appears  from  that  dav 
down  to  this,  its  \^ih.  may  be  strewed  with  a  thousand  victims  that 
may  have  fallen  an  easy  prey  to  her  cold  and  unfeeling  rapacity. 
What  better  time  can  be  selected  *Ho  bring  up  in  judgment  the  sins  of 
sixteen  years,"  than  at  a  time  w^hen  she  asks  another  term  of  twentv 
Tears  to  revel  upon  the  wants  of  12  millions  of  people?  Havin^^ 
shown  its  acknov/l edged  misconduct  for  the  first  two  years  of  its  ex- 
istence— having  shown  a  gross  act  of  fraud  shortly  tliereafter — hav- 
ing brought  to  the  view  of  the  flouse  the  murmurs  and  complainta 
of  the  country  against  this  institution,  indicating  a  strong  suspicion 
of  at  least  improper  conduct — knowing,  as  this  house  does,  that  the 
government  has  7. 000, GOO  of  dollars  at  stake — knowing,  too,  how 
-Jeeply  the  community  are  concerned  in  this  all-controlling  establish » 
ment,  and  that  if  once  more  chartered,  all  tuture  enquiry  is  closed, 
perhaps  forever—is  it,  J  put  it  to  the  candour  of  the  House,  unrea- 
sonable to  ask  for  an  investigation,  and  to  v/arn  the  Le'>"islatiire  tQ 
'-iiuae  before  they  rush  into  a  decision  the  mischiefs  of  which  na 
future  skiU  or  pruderire  can  repair? 

The  tliird  charge  is  ^he  disguising  of  loans  under  the  name  of  do- 
niestic  bills  of  0 A ch:'ri<;e  for  the  purpose  of  taking  more  than  at  the 
rate  of  sis  per  cent.  The  gentleman  t^sketi  fi)r  an  cxplijnation  '  f 
:h\3  charge,  on  a  lbrm«:r  Osj^asion,  and  when'  gi^ren,  said  he  beUc*-^4 


18 


it  never  could  be  made  out,  implying  thereby  if  it  could  he,  sad? 
cx)nduct  would  certainly  be  reprehensible.  This,  at  least,  then  i? 
not  one  of  those  shadows  that  vanishes  into  thin  air  and  consequent- 
ly deserves  to  be  investigated.  I  will  now  make  a  fuller  statement, 
and  I  think  I  am  authorized  to  say  that  there  are  gentlemen  in  thi^ 
House  trom  the  west,  and  under  my  eye  at  present,  who  will  confirm 
every  word  I  say.  A  person  has  a  note  in  one  of  the  Western 
Branch  Banks,  and  if  the  Bank  determines  to  extend  no  further  credit, 
its  custom  is,  w  hen  it  sends  out  the  usual  notice  of  the  time  tlie  nott 
falls  due,  they  write  across  the  notice,  in  red  ink,  these  three  fatal 
words,  well  understood  in  that  country,  ^'payment  is  expected^  Thie 
notice,  thus  rubricated  becomes  a  death  warrant  to  the  credit  of  thai; 
customer,  unless  he  can  raise  the  wind,  as  it  is  called,  to  pay  it  oS*,  or 
can  discount  a  domestic  62*// of  exchange.  This  last  is  done  in  one  of 
two  Vv'ays.  If  he  has  a  factor  in  N.  Orleans,  w^ho  is  in  the  habit  of  re- 
ceiving and  selling  his  produce,  he  draws  upon  him  to  pay  it  ofi  at 
vnaturity.  The  Bank  charges  two  per  centum  for  two  months^, 
the  factor  charges  two  and  a  half,  and  thus,  if  the  draft  is  at  sixty 
days,  he  pays  at  the  rate  of  twenty-seven  per  centum.  Ifhow> 
ever,  he  has  no  factor,  lie  is  obliged  to  get  some  friend,  who  has  one 
to  make  the  arrangement  to  get  his  draft  accepted.  For  this  acco- 
modation he  pays  his  friend  one  and  a  half  per  cent,  besides  the  two 
per  cent,  to  the  Bank,  and  the  two  and  a  half'per  cent,  to  the  accep- 
tor, making  in  this  mode  of  arrangement  thirty-six  per  cent,  which- 
he  pays  before  he  can  get  out  of  the  clutches  of  the  Bank,  for  thai 
time.  Twelve  per  cent,  of  which,  in  either  case,  goes  to  the  Bank, 
and  so  little  conscience  have  they,  in  order  to  make  this  they  v/iU 
subject  a  poor  and  unfortunate  debtor  to  the  other  enormous  bur- 
thens, and  consequently  to  absolute  beggary,  for  it  must  be  ob- 
vious to  every  one  that  such  a  per  cent,  for  money,  under  the  melan- 
choly  depreciation  of  produce  every  wherein  the  south  and  west* 
will  soon  wind  up  the  aHairs  of  such  a  borrower.  No  people  under 
vlie  Heavens  can  bear  it,  and  unless  a  stop  is  put  to  it,  in  some  way 
or  other,  I  predict  the  western  people  will  be  in  the  most  deplora- 
ble situ^i)ii  it  is  possible  to  conceive.  There  is  another  great  hard- 
ship to'vvlnch  this  debtor  is  liable,  if  he  should  not  be  able  to  furnisii 
t  he  produce,  or,  which  is  sometime  the  case,  if  it  is  sacrified  in  the  sale 
c)f  it,  at  the  time  the  draft  becomes  due,  w  hereby  it  is  protested  for 
want  of  funds,  it  returns  upon  him  with  the  additional  cost  ©f  ten 
li.er  cent,  for  non-payment.  Now,  sir,  that  is  what  is  meant  by  do- 
ihiestic  bills  of  exchange,  disguised  as  loans,  to  take  more  than  six 
\yiv  cent.,  for  mark, Mr.  Speaker,  the  Bank  does  not  purchase  a  bill 
f  f  exchaiif^e  by  paying  out  cash  for  it  and  receiving  the  usual  rate 
if  exchange,  w'hich  varies  from|  to  1  per  cent.,  but  it  merely  de  - 
livers up  the  poor  debtor's  note  which  was  previously  in  Bank,  and 
H-bat  is  worse  just  as  well  secured  as  the  domestic  bill  of  exchange 
vhich  they  tlius  extort  from  him  in  lieu  thereof.  And  while  they 
«re  {\m  exVctiDg  this  ]jer  cent,  from  him>  they  are  di&coAj^tin^  biU& 


19 


for  otliers^  ijot  in  debt  to  them,  at  the  usual  premium  of  one  pes 
cent.  The  whole  scene  seems  to  present  the  picture  of  a  heip= 
less  sufteVer  in  the  hands  of  a  ruffian,  who  claims  Uie  merit  of  charitj 
from  discharging  liis  victim  alive,  after  having  torn  away  half  his 
limbs  from  his  body - 

The  fourth  r.harge  is,  7ion  user  of  the  charter.  In  this,  that  from 
i8i9  to  1826,  a  period  of  seven  years,  the  south  and  west  Branches 
issued  no  currency  of  any  kind.  The  gentleman  admits  the  conse- 
{juences  of  non  tiser  of  a  charter,  by  an  incorporated  body,  indeed 
every  tyro  at  tlie  law  knows  this,  but  denies  that  it  has  any  applica- 
tion to  this  case,  for,  says  he  *'it  is  not  a  condition  in  the  charter, 
that  the  Bank  should  issue  bills  from  all  its  b ranches. I  find  thc- 
gentieman  is  not  familiar  with  the  charter,  and  if  I  shall  be  able  to- 
shew  that  it  is  a  condition  in  the  charter  to  issue  bills  at  the 
branches,  or  to  discontinue  those  Branches  entirely,  when  they 
will  not  issue  bills,  then  I  presume  he  will  admit  th@  Bank  has 
not  complied  with  the  true  end  and  object  of  its  institution,  and 
t  onseqdently  comes  under  the  penalty  of  non  user.  This  is  a  much 
?i  ore  serious  charge  than  the  gentleman  is  aware  of,  and  to  convince 
i  im  of  it,  I  will  beg  leave  to  read  the  following  clause  from  the- 
tliarter: 

*'It  shall  be  lawful  for  the  Directors  of  the  said  corporation  to  ESTABLTSK 
offices  of  DISCOUNT  and  DEPOSITE,  wheresoever  they  shall  think  fit^. 
within  the  United  States  or  the  Territories  thereof,  and  to  commit  the  manage- 
ment of  the  s^\d  offices  and  the  thereof,  respectively,  to  such  persons,, 
and  under  such  reg"ulations,  as  they  shall  deem  proper,  not  being-  contrary  to 
law  or  the  constitution  of  the  Bank.  Or,  instead  of  ESTABLISHING  suck- 
offices,  it  shall  be  lawful  for  the  Directors  of  the  said  corporation,  from  time- 
to  time,  to  EMPLOY  any  ofJicr  Bank,  or  Banks,  to  be  first  approved  by  the- 
S£cretari/  of  the  Treasury,  at  any  place  or  places  thatthev  may  deem  safe  an4. 
■proper  to  manag'e  and  transact  the  business  proposed  as  aforesaid,  otke>-  than- 
for  the  purposes  o  f  discount,  to  be  manag-ed  and  transacted  by  such  offices,  un-- 
der  such  agreements,  and  subject  to  sucii  reg-ulations,  as  they  shall  deem  ju^ 
and  proper.'* 

The  balance  of  the  clause  points  out  the  number  of  Directors,  their- 
qualifications,  their  manner  of  appointment,  the  mode  of  electing 
the  President,  and  tlieir^tenure  of  ofltce  in  tlie  event  of  estabUshing^ 
an  o&ce  01  discount  iind  dcposite  ])ursuant  to  the  first  part  of  the 
iibove  clause,  instead  of  employing  a  State  Bank  for  the  purposes  of 
deposite  oiily.  Having  a  use  for  the  foregoing  extract  at  another 
part  of  my  argument,  I  v/ish  it  to  be  borne  in  full  recollection. 

By  the  clause  of  law  I  have  just  read,  it  will  be  perceived  that: 
the  corporation  has  two,  and  but  two,  distinct  powers.  First,  ta 
"Hahllsh  an  office  of  discount  and  deposite^  not  deposite  alotie;-^. 
Secondly,  to  employ  a  State  Bank  for  the  purposes  of  deposite  and 
such  other  business  connected  with  deposites  as  may  be  required,, 
"but  not  for  the  purpose  of  discount.  Now,  if  by  the  first  power* 
fhey  establish  a  Branch,  it  is  obliged,  by  the  terms  of  the  charter,  to. 
be,  an  office  of  discount  and  deposite,  and  the  moment  they  cease  tch, 
disu>unf^  their  authority  to  rec'^ixc  dcppsites  cea.s^  for  tltey  are 


20 


the  law  inseparable.  It  is  the  boast  of  the  Bank  that  its  end  and 
f>bject  is  to  equalize  the  currency  and  to  accommodate  the  whole 
community,  and  that  it  is  not  to  make  one  part  of  the  country  sup- 
ply the  wants  of  another.  If  then  it  does  not  effect  this,  it  surely 
does  not  answer  the  purpose  of  its  institution.  Now  when  an  office 
of  discount  and  deposite  is  established^  its  purpose  is  as  well  defined 
as  the  mother  Bank  itself,  and  to  all  intents  must  perform  that  pur- 
pose within  its  sphere  as  the  parent  Bank  is  required  to  perform  her 
duty  within  her  limits.  This  purpose  is  to  discount,  and  to  dis- 
count is  to  furnish  those  very  facilities,  which,  in  their  money  lend- 
ing  capacity,  they  profess  to  possess,  and  which  every  body  knows 
is  the  principal  end  of  their  institution,  and  indeed,  without  whichj 
they  v/ould  not  receive  so  vast  a  privilege.  To  stop  discounts  in 
the  branches  and  continue  the  deposites,  is  a  perversion  of  the  law, 
and  to  that  extent  is  not  an  honest  user  of  their  charter.  Observe, 
Mr.  Speaker,  what  would  be  the  consequence  of  such  a  course. — ■ 
Offices  of  deposite,  only,  would  be  fixed  down'by  the  side  of  th-s 
State  Banks,  and  collecting  the  revenues  of  the  country  in  State 
Bank  bills,  they  would  have  nothing  to  do  but  to  call  on  the  local 
institutions  and  drain  oft'  every  dollar  of  their  specie  to  the  mother 
Bank.  Indeed,  Sir,  in  the  seven  years  famine  of  the  South  and 
West,  occasioned  by  the  hoarding  of  the  branches  which  I  have 
mentioned,  they  served  only  as  leeches  upon  the  State  Banks,  and 
as  fast  as  they  would  fill  themselves  they  dropped  off  to  their  parent 
;iK)nster  for  the  purpose  of  emptying  their  distended  contents  into 
her  voracious  stomach,  whence  it  was  disgorged  upon  Philadelphia 
and  other  Northern  Cities  to  bloat  their  already  overgrown  wealtli 
at  the  expense  of  the  South,  and  for  another  very  important  purpose 
which  I  shall  hereafter  show.  This  is  not  equalizing  the  currency, 
nor  is  it  a  just  and  impartial  distribution  of  those  facilities  it  was  in- 
tended to  confer.  Nay,  it  was  robbery  of  one  section  of  country  for 
the  benefit  of  another. 

The  fifth  charge  is  building  houses  to  rent.  The  gentleman  said 
this  idea  was  new  to  him  and  that  he  would  be  glad  if  I  ''would 
shew  him  from  Coke  or  Blackstone,  how  it  can  be  lawful  to  pur- 
chase land,  and  not  to  build  houses  upon  it  and  lease  it."  I  wiU 
shew  the  gentleman  from  the  Charter,  better  authority  than  Coke 
and  Blackstone,  on  this  subject.  Says  the  charter  ^'the  land,  tene- 
ments and  hereditaments,  which  it  shall  be  lawful  for  the  said  cor- 
poration to  hold,  shall  be  only  such  as  shall  be  requisite  for  its  im- 
mediate accoramodation  in  relation  to  the  convenient  transactions  of 
its  business,  and  such  as  shall  have  been  bona  fide  mortgaged  to  it 
by  way  of  security,  or  conveyed  to  it  in  satisfaction  of  debts  pre 
viously  contracted  in  the  course  of  its  dealings,  or  purchased  at 
sales  uTpmjudgments  which  shall  have  been  obtained  for  such  debts.''' 
Every  one  must  admit  tiiat  the  above  clause  had  son>e  motive  in 
view,  was  intended  as  a  t'estric/ion,  it  aeenis,  to  guard  against  some, 
dangerous  consequence  that  nn^jnlimited  pos^essicn  of  real  estate 


21 


iti  such  a  vast  monied  institution,  might  produce.    There  are  two 
meanings  to  be  placed  almost  upon  every  thing,  a  right  and  a  wrong 
one,  now  let  us  honestly  enquire  what  was  intended  by  the  above 
provision?    1  think  I  discover  but  three  things.    1st.  They  may 
acquire  real  estate  for  the  immediate  accommodatioyi  of  tlie  Bank, 
and  as  if  this  was  not  sufficiently  restrictive  it  is  added,  such  only 
as  shall  be  requisite  MiA  convenient  for  the  transaction  o{ its  business. 
On  this  point  there  can  be  no  difficulty.    £d.  Such  as  shall  be  bona 
fids  mortgaged  by  way  ol  security.    Here  too,  there  is  no  diffi.uclty. 
But  now  commences  the  field  of  dispute.    3d.  Such  as  is  conveyed 
to  it  in  satisfaction  of  debts.    It  is  unfortunate  that  the  charter  did 
not  specify  what  disposition  the  Bank  should  make  of  real  property 
thus  acquired.    But  it  is  perfectly  obvious  if  they  intended  to  con- 
fer the  right  of  an  unlimited  use  of  real  estate  after  acquiring  it  in 
the  course  of  its  dealings  and  in  the  discharge  of  its  debts,  it  v/as 
wholly  idle  to  have  inserted  the  immediate  foregoing  clauses  in  the 
section,  guarded  as  they  seem  to  be  by  minute  restrictions.  There 
is  however  another  provision  in  this  charter  in  relation  to  persona! 
property  which  will  entirely  relieve  our  doubts,  especially  when 
we  bear  in  mind  that  the  charter  would  not  establish  two  diiferent 
rules  as  to  the  manner  of  holding  rea/  and  personal  property.  The 
clause  in  relation  to  their  holding  personal  property  is  in  the  follow- 
ing words,  viz:  *'The  said  corporation  shall  not  directly  or  indirect- 
ly^ deal  or  trade  in  any  thing  except  hWU  of  exchange,  gold  or  silver 
bullion,  or  in  the  sale  of  goods  really  and  truly  pledged  for  money 
lent  and  not  redeemed  in  due  time,  or  goods  which  shall  be  the 
proceeds  of  its  lands;"  then  the  12th  section  declares  'nhat  if  the 
said  corporation,  or  any  person  or  persons,  for  or  to  the  use  of  the 
same,  shall  deal  or  trade  in  buying  or  selling  goods,  wares,  mer- 
chandize v)r  commodities  whatsoever,  contrary  to  the  provisions  of 
this  act,  all  and  every  person  or  persons  so  offending,  &c.  shall  be 
punished,  &Cc    Now  taking  these  two  clauses  together  the  intention 
is  very  manifest,  they  may  take  goods  in  pledge  or  payment  of  debts 
and  dispose  of  them  by  a  single  and  wholesale  contract  or  in  par- 
cels as  at  auction,  but  they  shall  not  build  upon  such  acquired  goods 
a  regular  and  continued  commercial  business.    So  with  regard  to 
real  estate,  they  may  dispose  of  it  by  sale  to  reimburse  them  in  their 
loans,  but  they  shall  not  possess  whole  cities  and  countries  for  the 
purpose  of  renting.    Mr.  Speaker,  permit  me  to  indulge  in  one  re- 
iiection  at  this  place,  the  application  of  which  will  presently  be  made, 
and  in  a  case  which  ought  to  alarm  every  body,  but  more  especially 
the  Western  people.    We  have  always  considered  the  condition  of 
the  European  people  and  especially  of  Great  Britain,  as  most  deplo» 
rable,  in  consequence  of  their  being  tenants  to  great  landlords. 
The  scanty  food  ^hey  draw  from  the  earth  is  at  an  enormous  expense 
of  rent,  and  if  this  country,  instead  of  its  present  happy  distribution 
4)f  fee  simple  estates  among  the  people,  was  in  the  hands  of  a  few 
grandees  to  be  rented  out  at  their  will  and  pleasure,  and  for  what- 


thoy  fnigKt  choose  to  enact,  vve  would  consider  nothing  so  de^ 
testable  and  ruinous  to  the  prosperity  of  the  country.  Now,  Mr^ 
Speaker,  this  is  not  only  the  obvious  tendencies  of  the  Bank 
in  point  of  fact,  but  it  is  in  principle  one  of  the  very  organic 
elements  of  its  constitution.  MONEY  is  property,  and  in  this 
hemisphere  commands  all  kinds  of  property  both  real  and  per- 
sonal,  and  if  you  would  not  give  a  single  corporation,  or  more 
properly  speaking  a  few  noble  lords  the  entire  rental  of  lands 
of  the  United  States,  much  less  should  you  give  them  the  eil- 
tire  control  of  all  the  money  in  the  country,  which  will  finally 
draw  to  itself  all  the  lands  of  the  country.  In  Great  Britain 
from  its  immense  population  and  the  great  disproportion  between  its 
necessitous  people  and  the  quantity  of  land,  the  latter  is  more  valu- 
able than  money,  because  it  yields  a  higher  profit,  consequently 
those  few  who  hold  the  landed  interest  of  that  country  hold  the  en- 
tire destinies  of  that  unfortunate  people  in  their  possession.  They 
are,  for  all  the  purposes  of  monied  contributions,  the  slaves  of  the 
landlord,  the  true  aristocracy  of  G.  Britain.  Is  it,  Mr.  Speaker,  in  the 
power  of  any  one  to  draw  a  rational  distinctinction  between  a  monied 
and  a  landed  aristocracy?  Is  there  any  difference  between  a  needy 
debtor  and  a  dependent  tenant?  Are  they  not  both  equally  cramped, 
alike  enslaved,  similarly  spirit-broken,  and  under  the  foot  of  a  ''hard 
master?"  If  the  Bank  were  to  request,  in  their  present  application 
for  a  renewal  of  their  charter,  to  be  permitted  to  buy  up  all  the  land- 
ed property  in  the  Union,  for  the  purpose  of  erecting  the  British 
system  of  landlord  and  tenant,  every  body  would  perceive  the  re- 
volting character  of  the  demand,  and  scout  it  accordingly;  and  yet 
they  are  asking  for  ten  times  worse,  and  are  likely  to  obtain  it! 
They  are  asking  to  make  every  man  in  America  their  debtor,  in- 
Htead  of  tenant,  by  which  all  his  property  is  at  their  perfect  control  I 
Nov/,  sir,  for  the  application  of  these  reflections,  to  the  case  I  pro- 
mised. In  the  town  of  Cincinnati,  I  discover,  by  the  monthly 
statements  of  the  Bank  itself,  that  it  owns,  besides  its  banking  hous- 
es, valued  at  §23,500,  nearlv  one  million  and  a  quarter  of  real  es- 
tate. This,  let  me  premise,  is  greatly  under  its  true  value,  for  it 
has  been  received  by  the  Bank  in  payment  of  its  debts,  at  two 
thirds  of  its  appraised  value,  by  the  law  of  that  State,  and  has  since 
risen  in  value,  as  I  am  told,  something  like  fifty  per  cent,  so  that,  at 
this  time,  it  is  confidently  believed  that  they  own  three  milions  of 
real  estate  in  Ohio.  But,  sir,  taking  the  estimate  as  contained  in 
their  report,  at  twelve  hundred  thousand  dollars,  let  us  make  a  few 
calculations,  for  the  consideration  of  reflecting  men.  This  sum  di- 
vided by  one  thousand,  which  would  be  a  fair  average  of  Bank  debts, 
would  make  twelve  hundred  debtors  in  that  town,  who  have  been 
obliged  tn  part  with  their  homes,  leaving  out  of  view  those  thousands 
who  hnve  not  yet  arrived  at  that  lamentable  condition,  but  who  are 
perhaps  hurrying  to  that  catastrophe  as  fast  as  the  lion  claws  of  ava- 
rice can  draw  them.    What  a  reflection!    But  this  is  not  all-— this 


23 


^laffie  sum  of  twelve  hundred  thousand  dollars  would  purchase 
twelve  hundred  tenements,  severally  worth  a  thousand  dollars,  and 
i-enting  only  for  one  hundred  dollars  each,  would  produce  an  annual 
rental,  in  this  city,  of  two  hundred  thousand  dollars,  equal  to  ten 
per  cent,  interest'on  their  capital.  No  wonder  that  they  are  anxious 
to  change  their  money  lending  stock,  at  six  per  cent,  into  a  leasing 
capital  producing  at  bast  ten  per  cent,  and  perhaps  as  high  as  thir 
ty.  I  am  aware  that  my  calculations  do  not  correspond  with  the  ac- 
tual fact,  but  what  is  true  as  to  the  particular  divisor  assumed,  will 
be  equally  true  as  to  any  other;  for,  whether  higher  or  lower,  the 
rent  of  twelve  hundred  thousand  dollars  worth  of  real  property  will 
be  the  same  in  twelve  or  twelve  hundred  tenements,  and  either  is 
too  much  for  any  one  institution  to  hold  in  the  United  States,  espe- 
cially when  we  femember  the  fate  of  Cincinnati  may  be  that  of  eve- 
ry town  in  America.  If  then  they  are  not  restrained  within  the 
true  latent  and  meaning  of  their  charter,  what  is  to  hinder  them  from 
becoming  the  great  landlords  of  this  country,  and  what  will  prevent 
them  from  changing  their  thirty-five  millions  of  six  per  cent,  stocks 
into  three  times  that  amount,  under  a  false  valuation,  of  real  proper- 
ty, yielding  an  income  of  fifteen  per  cent.^  In  my  humble  opinion, 
nothing.* 

The  6th  charge  in  is  in  the  capital  stock,  not  having  due  propor- 
tions of  coin. 

The  gentleman  says,  I  am  wholly  at  a  loss  to  understand  this 
chdrge."  Taking  him,  as  I  did,  upon  surprise,  and  being,  I  suppose 
a  long  time  since  he  read  the  charter,  it  must  have  escaped  his  re- 
collection how  the  hard  money  foundation  of  that  enormous  struc- 
ture was  laid.  The  3d  section  of  the  charter  requires,  '*seven  mil- 
lions of  dollars  thereof  in  gold  or  silver  coin  of  the  United  States, 
or  in  gold  coin  of  Spain,  at  a  certain  rate,  &c.,  and  twenty  millions 
of  dollars  in  like  gold  or  silver  coin,  or  in  the  funded  debt  of  the 
United  States.  This  made  twenty-eight  millions,  which  was  that 
portion  of  the  stock  intended  for  individual  subscribers.    The  gov- 

*Since  the  chove  speech  was  delivered,  a  g"entleman  of  Ohio,  of  undoubt- 
ed respectabUity,  writes  from  tliat  State  concerning'  the  very  many  abuses  and 
oppressions  of  the  branc  h  established  at  Cincinnati,  and,  among-  other  things, 
states,  "that  you  may  form  some  idea  of  their  speculations,  I  will  mention  the 

case  of  my  late  friend,  Mr.   .    He  was  indebted  to  them  for  himself  and 

others  to  the  amount  of  50  or  $60,000,  and  possessed  a  large  estate  in  the  city. 
But  by  our  laws  real  estate  could  not  be  sold  unless  it  broug-ht  two-thirds  of  its 
appraised  value,  to  be  ascertained  by  a  jury  selected  by  ^the  Marshal.  A 
judgment  was  obtained  ag-ainst  him,  which  bound  all  his  property. — The 
Bank  agent  could  not  get  a  jur}  to  value  so  low  as  to  enable  him  to  take  the 
whole,  he  would,  therefore,  take  none.  Situated  thus,  his  credit  destroyed, 
his  whole  estate  locked  up  which  was  not  productive,  thrown  out  of  business, 
and  a  large  familyto  support,  after  years  of  repeated  efforts,  he  was  finally 
compelled  to  make  a  compromise,  by  which  he  gave  up  a  part  of  his  estate, 
and  for  which  they  allowed  §50,000, — this  property,  or  the  g-reatest  part  of  it, 
they  have  since  sold,  and  estimating  the  residue  of  it  at  the  same  rates,  it  will 
produce  a  clear  profit  of  more  than  §50,000. 


24 


crnmenls  seven  millions  was  to  be  paid  in  gold  or  silver  coin,  or  in 
stock  of  the  United  States,  bearing  interest  at  the  rate  of  five  per 
cent,  per  a  inum.  The  funded  debt  was  considered  equal  to  gold 
and  silver,  bottomed,  as  it  was,  upon  the  credit  of  the  Government, 
seven  millions  of  the  latter  was,  however,  indispensable  and,  ot' 
course,  a  corresponding  amount  of  the  former.  The  9th  section 
declared,  that  as  soon  as  the  sum  of  eight  millions  four  hundred 
thousand  dollars  in  gold  and  silver  coin,  and  in  the  public  debt, 
shall  have  been  aduatly  received  on  account  of  subscriptions  to  the 
capital  of  the  said  bank,  (exclusive  of  the  subscri]>tion  of  the  Uni- 
ted  States,"  then  the  Bank  was  authorized  to  go  into  operation.— 
Now,  it  is  very  clear,  that  this  amount  of  eight  millions,  four  hun- 
dred  thousand  dollars,  exclusive  of  the  Government's  subscription^ 
was  the  least  amount  of  coin,  upon  which  the  Bank  should  com- 
mence; and,  therefore,  constituted  the  true  proportion  of  coin  in  re- 
lation to  its  future  issues,  which  being  limited  to  its  stock  of  thirty- 
'  five  millions,  was  nearly  one  fourth  of  the  capital.  If  the  Bank 
could  not  be  permitted  to  start  without  this  amount,  and  that  too,  in 
reference  to  the  individual  subscriptions,  which  was  twenty-eight 
millions,  surely  it  should  never  come  below  that  amount  alter  it  gets 
into  operation,  and  after  seven  millions  more  of  tlie  Government'^- 
stock  is  atided.  If  there  was  any  good  reason  for  such  a  provi 
provision  atfirsf,  it  must  continue.  There  must  have  been  some 
meaning  in  it,  I  apprehend,  or  it  would  not  be  found  in  the  charter. 
Everybody  will  perceive  at  once,  that  a  Bank  without  some  specie^ 
would  be  soon  without  credit,  indeed  would  be  broke,  for  specie  is 
the  only  true  means  of  payment  of  debts,  and  the  whole  and  sole 
credit  of  Banks.  It  is  the  measure  of  value  to  every  thing,  though 
it  has  very  many  substitutes,  some  of  which  are  extremely  preca- 
rious. Then  what  amount  of  specie  shall  always  remain  in  Bank^ 
is  a  question  of  some  difficulty  ,  and  depends  very  much  upon  its  bu- 
siness, itsstockj  its  credit,  and  its  management.  If  it  were  said  the 
Bank  of  the  United  States  had  NO  specie,  it  would  startle  every 
man  in  the  nation  who  had  any  demands  upon  it.  If  it  were  said  it 
had  but  one  hundred  dolhvs^  that  would  equally  alarm  its  creditors  ! 
What  amount  then  shall  it  have,  to  quiet  all  apprehension?  I  can 
give  no  better  answer  than  to  say,  the  charter  required  at  its  begin- 
Ring,  it  should  have  ^8,400,000,  and  if  at  that  time  it  was  consider- 
ed the  proportion  upon  which  public  confidence  might  rely,  there 
can  be  no  good  reason  why  it  should  not  remain  so.  Now,  Sir,  what 
IS  the  fact  as  to  the  quantity  of  specie  in  the  Bank.'^  By  the  month- 
ly statements,  it  had  on  the'^lst  of  January  but  §7,038,823,  and  but 
S2,200  oF  funded  debt;  being,  when  added  together,  §1,358,177 
less  than  what  the  Bank  commenced  with,  though  the  Governments 
stock  has  since  been  paid  in.  Now,  Sir,  I  maintain  that  this  is  not, 
under  any  sound  interpretation  of  the  charter,  a  due  proportion,  of 
coin  to  the  capital  stock.  I  go  further,  and  say,  that  this  result  in= 
volves  the  principle,  if  not  the  actual,  fact,  that  the  Bank  is  brake. 


25 


She  has  been  compelled  to  use  that  portion  of  her  capital,  which 
wSiS  the  prescribed  security  to  the  public,  of  the  Bank's  claims  to 
confidence.  It  was  the  pledge  of  the  Bank's  credit  and  the  starting 
point  of  its  operations,  below  which  if  it  should  come,  there  was  nu 
safety  as  to  its  promises;  for  it  must  be  obvious  to  all,  if  once  allow- 
ed to  range  below  this  limit,  it  may  just  as  well  cimtinue  business 
'jpon  one  dollar  as  one  hundred,  and  upon  one  hundred  as  upon  one 
thousand,  and  so  on,  till  it  gets  to  that  limit  assigned  by  the  charter 
Though  the  gentleman  has  said,  the  Bank  is  not  only  able  to  pay 
its  debfs,  but  is  a  great  deal  too  able,  to  suit  the  view^s  and  wishes 
of  its  opponents,"  yet,  I  dispute  the  fact,  and  v.'ill  affirm,  in  oppo- 
sition to  his  declaration,  that  upon  true  mercantile  or  banking  prin- 
ciples, and  that  punctuality,  which  those  respective  relations  require 
it  is  not  able  to  meet  its  engagements.  He  rests  its  capacity  upon  its 
property  and  debts  to  discharge  the  demands  that  may  be 
made  against  it.  Now  sir,  1  say  that  this  is  not  a  safe  reliance, 
and  J  say  more  that  if  the  Banks  of  New  York  and  Pennsylvania 
were  disposed  to  unite  and  make  a  run  upon  the  mother  Bank  at 
Philadelphia  they  could  compel  her  to  close  her  doors  to-morrow 
notwithstanding  she  might  be  able  hereafter  to  pay  thirty  shil- 
shillings  m  the  pound.  He  has  said  it  could  pay  off  all  its  debts 
in  sixty  days.  What!  a  Bank  asking  sixty  days  to  pay  its 
debts?  l)re:idfull  "Will  Banks  dare  to  require  of  her  poor  debtor;^ 
to  pay  down  the  last  farthing  in  the  three  days  of  grace ^  and  tlien 
turn  round  and  claim  sixty  days  for  themselves?  If  they  are  such 
clamorous  sticklers  for  punctuality  among  their  debtors  that  they 
prolest  them,  stop  their  credit  in  Bank,  nay,  strip  them  of  all  their 
property  and  Hing  their  bodies  into  a  dunt;eon,  if  they  overgo  those 
;-aid  days  of^race,  can  it  be  possible  that  they  claim  an  exemption 
from  a  like  punetuality  ?  If  by  the  law  merchant,  a  strict  compli- 
ance is  required  with  the  rule  I  have  mentioned,  and  a  failure  to  re- 
gard it  involves  the  consequence  of  bankruptcy,  though  the  default- 
er may  be  worth  twice  as  much  as  the  debt,  how  can  the  Bank  es- 
cape from  this  fundamental  pi-inciple  in  all  trading  establishments  ; 
Would  the  Bank  be  content  with  such  a  reply  as  this  from  one  of 
lier'debtors,  on  the  day  nis  note  became  due~*»  Sir,  I  have  not  the 
cash  to  pay  my  note,  but,  look  upon  my  list  of  property ;  see  the 
notes  due  from  other  persons  to  me,  to  be  paid  in  sixty  days — the 
whole  amount  ten  times  more  than  I  owe  you  :  v>ill  you  wait  sixty 
days,  when  it  will  be  entirely  in  my  power  to  pay  y!)U  ?"  Think 
you,  Mr.  Speaker,  the  Bank  would  reply— -^'lo  be  sure,  my  dear 
^friend,  we  will  watt;  we  are  sorry  you  have  troubled  yourself  about 
it,  give  yourself  no  uneasiness  ;  just  pay  us  when  it  suits  your  con- 
venience.'' If  there  is  any  such  Bank  in  this  world,  I  will  make  at 
least  one  pilgrimage  to  it.  Then,  Sir,  if  the  Bank  must  pay,  like 
all  other  persons,  when  demanded,  and  in  the  three  days  of  grace, 
l«t  us  see  how  far  she  is  able  to  meet  her  present  debts'.  Let  it  b^e 
bonie  in  mind,  that  her  seven  millions  of  specie  does  not  lie  in  th^. 


26 


parent  Bank,  but  is  scattered  all  over  the  Union,  in  her  several 
branches. 

i'he  whole  of  her  specie  in  the  principal,  and  twenty-seven  branch- 
es,  including  the  Bank  in  the  District  of  Columbia,  is  but 

S  7,038,823 

Funded  debt,            -           -           -           -           -  2,200 
To  which  add  all  the  tangible  silver  ^nd  gold  now  cir- 
culating out  of  the  Banks,  in  the  United  States, 
which  is  estimated  at       -          -          -,          -  14,03*7,646 

Add  ^27/5  due  her  from  other  Banks,          -          -  2,171,676 

Add  Z^e^^s  due  her  from  other  Banks,  -  -  1,993,744 
Add  her  Contingent  Fund,  though  I  do  not  understand 

its  nature,            -          -          .          -          -  2,114,365 


S27,398,454 

Novi^,  Sir,  this  is  all  the  immediate  available  cash 
land,  in  tlie  power  of  the  Bank  to  wield,  upon  a  sud- 
den emergency ;  and  it  is  seen  that  one  iiiipossible  item 
is  allowed — that  is,  the  whole  of  the  circulating  gold 
and  silver  currency  in  the  U.  States.  When  this,  and 
the  scattered  condition  of  her  own  specie  is  consider- 
ed, how  is  it  possible  for  her  to  meet  the  following 
debts,  if  immediately  pressed — to  wit  : 

Bills  issued,  and  now  in  circulation,  -  -  24,630,752 

To  which  add  public  and  private  deposites,  -  17,997,689 

Add  Baring  &  Go's  debt,  and  Dividends  unclaimed,  1,512,(565 


S44, 14 1,106 

The  Bank  cannot  make  specie  in  the  country,  the  deception  is  in 
promising  to  pay  specie.  The  best  financiers  calculate  that  there  is 
but  about  f(mrteen  millions  of  specie  circulating  in  the  country,  out 
of  the  Banks,  and  if  the  Bank  of  the  United  States  could  lap  up 
every  dollar  of  these,  could  insert  its  proboscis  into  those  leather 
purses  that  have  for  many  years  concealed  from  the  light  of  day  dol- 
lars that  have  grown  dim"  with  age,  it  could  not  according  to 
the  usages  of  merchants  meet  its  engagements  with  that  promptness 
which  is  the  arterial  circulation  of  commerce.  This  is  what  1 
meant  the  other  day  by  saying  the  Bank  was  broke.  I  did  not  in- 
tend to  use  the  term  in  its  popidai\^  but  in  its  commercial  sense.  I 
know  too  well  its  immense  resources  to  believe  it  is  unable  to  pay, 
the  Government  deposit,  will  uphold  her.  It  has  been  too  long 
wriTiging  from  the  community,  the  fat  of  the  land,  to  be  what  would 
be  termed  insolvent.  I  only  wish  to  warn  the  nation  that  her  late 
trading,  as  well  for  the  purpose  of  making  friends,  as  for  money 
speculations  *  especially  in  specie,  as  will  be  hereafter  shown,  hes 
carried  her  over  the  boundary  of  gafe  trangactions,  and  she  relies  upon 


2f 

getting  back  by  the  indulgence  of  the  Government  and  that  most 
sired  of  all  objects,  a  new  charter.  And  I  make  this  remark  which 
I  hope  will  be  well  remembered,  that  when  that  is  accomplished^ 
ind  she  makes  the  rebounding  effort  to  gain  her  former  position,  it 
will  be  a  spring  that  will  crush  its  thousands  to  death.  Many  a 
Nabob  has  broken  full  handed.  Many  a  gilded  sign  hangs  before 
a  rich  ware-house,  all  in  confusion.  And,  drawing  a  figure  from 
that  best  of  books,  the  whited  sepulchre  is  filled  with  dead  men's 
bones. 

The  seventh  charge  is  Foreigners  voting  for  Directors,  through 
their  Trustees. 

The  gentleman  states  that  he  "knows  nothing  of  this  charge. 
But  the  fact  can  easily  be  ascertained  from  the  Bank  itself."  This 
may  or  may  not  be  the  case.  Books  may  show  one  thing,  but  oral 
testimony  another,  and  the  very  object  of  an  enquiry  is  to  procure 
evidence  of  not  only  that  which  appears,  but  that  which  does  not 
appear,  and  the  last,  always  haunting  secret  places,  can  only  be 
reached  and  searched  thr«ugh  the  powerful  agency  of  an  oath.  The 
gentleman  adds — *'It  may  be,  .hat  stock  has  been  owned  by  a  fo- 
reigner, and  yet  held  in  the  name  of  some  citizen  of  the  U.  States.*' 
^'  This,"  he  continues,  "  is  no  abuse  for  v;hicl'  the  Bank  is  answer- 
able, unless  the  Bank  has  been  conusant^of  the  fact,  and  had  the 
powQr  of  correcting  the  abuse."  To  this,  I  most  cheerfully  acqui- 
esce — but,  for  the  best  and  most  obvious  reason,  that  of  not  having; 
such  a  tremendous  institution,  the  monied  lever  of  the  nation,  under 
the  direction  of  foreigners,  who,  in  time  of  war,  might  paralyze  the 
whole  machinery  of  Government,  it  is  wisely  provided,  in  two 
places  (as  if  one  was  not  enough)  in  the  Charter,  that  no  foreign 
Stockholder  shall  vote  in  the  choice  of  Directors.  And,  so  anxious 
is  the  Government -to  prevent  the  exercise  of  this  dangerous  influ 
ence,  that,  by  an  act  of  Congress,  passed  in  1819,  some  restrictions 
are  imposed  upon  the  managers  of  elections,  as  well  as  the  voters, 
sfrengthened  by  two  solemn  oaths,  intended  to  prevent  a  violation  of 
these  clauses  of  the  Charter.  If,  ther.,  there  ai  e  any  secret  trusts, 
as  the  gentleman  insinuated,  it  appears  to  me,  unless  the  persons 
concerned  ai-e  of  the  most  depraved  order,  they  could  be  brought  to 
light  by  virtue  of  the  strong  obligations  just  referred  to.  It  is  very 
evident  the  books  will  not  show  these  secret  trusts,  but  it  Is  not  so 
clear  the  officers  cannot  :  it  is  a  mcst  dangerous  mischief,  and  well 
worthy  of  investigation. 

This  finishes  the  consideration  of  those  grounds  affecti'Tj  rhr  in 
tegrity  of  the  Charter,  aud  which,  if  established,  will  amounr  t  vcu 
to  a  forfeiture  of  its  privileges,  much  more  its  claims  to  rv^iiewah — 
I  shall  now  proceed  to  the  abuses  of  the  Charter,  amountir  to  .  uch 
breaches  of  good  faith  as  ought  to  destroy  all  future  or  fui  rher  ron  - 
fidence  in  its  operations. 

Before,  however,  I  proceed  to  this  branch  of  the  subject,  I  hope  i 
may  be  indulged  with  a  few  more  reflections,  connected  with  the 
lacts  I      about  to  ofter  : 


28 


The  several  States  are  obliged  to  have  money  for  their  tvaiits,  $.s 
well  as  the  General  Government.  Institutions  of  Government,  in- 
tended to  protect  such  important  interests  as  the  rights  of  persons* 
and  the  rights  of  property  must  be  supported  by  the  same  means  a? 
those  that  belong  to  the  federal  or  any  other  government.  And  it 
is  no  bold  assertion  in  me  to  say,  that  the  United  States  Bank  can- 
not supply  all  the  wants  of  the  States.  The  people  of  the  States 
must  have  money  for  their  taxes  as  well  as  for  other  purposes,  and 
to  local  institutions  they  are  compelled  to  look  for  those  facilities 
which  it  is  said  the  United  States  Bank  furnishes  the  General  Go- 
vernment. Is  it  desirable  to  prostrate  these  great  conveniences  ? 
Will  the  Representatives  here,  of  their  different  States,  so  far  for- 
get their  own  establishments  as  to  place  them  in  the  power  of  an  in- 
stitution, which  its  own  President  has  declared  can  crush  them, 
v^'henever  it  chooses  ?  If  the  corporation  of  the  United  States  Bank 
had  an  invincible  army  in  Philadelphia,  which  it  could  send  out  by 
detachments  to  plunder  and  rifle  the  States  of  their  property,  con- 
quer them  whenever  it  suited  either  their  interest  or  ambition,  and 
make  them  tributary  to  their  avarice  or  power,  every  one  would 
shudder  at  such  a  state  of  things.  Now,  Sir,  money  is  invincible 
power,  and  is  to  the  moral,  what  an  army  is  to  the  physical  world 
The  Bank  has  nothing  to  do  but  to  send  out  a  detachment  of  ten 
millions  of  dollars  into  a  State,  demolish  *the  State  Banks,  desolate 
their  fair  fields  of  profit,  make  prisoners  of  war  of  tfieir  customers, 
obtain  the  allegiance  of  their  debtors,  establish  a  fort,  and  then 
march  on  to  the  next  State,  conquering  and  to  conquer.  Who  does 
•not  perceive  this  ?  And  is  there  none  who  would  not  be  willing  to 
divest  such  an  enemy  of  this  despotic  dominion  ? 

The  Bank  does  not  cash  its  notes  or  receive  in  deposite  at  each 
branch,  and  at  the  parent  Bank,  the  notes  of  each  other.  This  idea 
will  be  better  understood  by  stating  that  the  mother  Bank  prepares 
the  bills  and  sends  them  out  to  her  respective  branches.  These 
branches  then  fill  them  up  and  issue  them,  and  as  soon  as  they  are 
afloat,  the  parent  Bank  knows  thera  no  more,  though  circulating  in 
the  country  as  her  offsprini^  and  bound  to  support  them,  and  can 
never  be  brought  to  recollect  them  again  till  her  memory  is  refreshed 
with  something  like  a  one  per  cent,  remembrancer.  And  so  with  re- 
gard to  the  branches,  though  sisters  from  the  same  pi.rent,  they 
know  nothing  of  each  other's  progeny,  and  will  have  nothing  to  dc 
with  them,  unless  paid  to  entertain  them.  As  I  stated  before,  the 
parent  Bank  demands  a  premium  for  receiving  the  notes  of  her 
branches,  the  branches  of  the  parent  Bank,  and  of  each  other.— 
This,  the  gentleman  says,  is  obliged  to  be  done,  and  the  attempt  to 
do  what  the  Bank  is  here  assailed  for  not  doing,  produced  all  its 
embarrassments  in  1819.  If  it  cannot  do  it,  the  business  ought  to 
be  confined  entirely  to  the  mother  Bank,  and  the  branches  with- 
drawn from  the  States,  for,  as  at  present  organized,  they  are  com- 
plete brokerage,  or  rather  shaving  shops^  selling  and  buying  theit 


£9 


5wn  paper  and  making  a  profit  both  wa>^.  But  there  is  good  reason 
-0  believe  the  fact  is  untrae.  In  the  iirst  place,  they  do  it  for  the 
s;overnment,  they  receive  at  any  branch  the  bills  of  the  mothsi' 
Bank  or  any  of  the  other  branches,  without  any  discount  whenever 
demanded  by  the  Treasury  Department,  and  why  may  they  not  on 
account  of  citizens?  In  the  second  place,  they  do  it  for  the  citi- 
zens  in  all  sums  of  five  dollars.  Why  no  more?  In  the  third 
place,  in  very  many  branches  they  do  it  without  any  premium, 
for  any  amount  and'  to  any  person.  Why  this  dilFerence  ? 
In  the  fourth  place,  they  charge  more  at  some  branches  than  at 
others,  and  they  require  a  greater  premium  upon  some  branch  bills 
than  others,  and  upon  none  does  it  exceed  half  per  cent,  the  usual 
price  being  one  quarter  of  one  per  cent.  Now,  can  any  believe  that 
if  they  can  receive  their  bills  for  the  government  without  premium, 
from  the  citizens  up  to  five  dollars,  can  dispense  with  it  at  some  of 
the  branches,  make  adifierence  in  the  bills,  and' finally  receive  only 
one  fourth  to  one  half  per  cent,  upon  what  they  actually  do  in  this 
traffic,  they  might  not  dispense  with  it  altogether.  Can  it  be  possi- 
ble that  this  petty  shaving  is  indispensable  to  "sustain  the  soundness 
of  the  currency,"  and  the  attempt  to  do  which,  in  1819,  "led  to  al": 
the  over  trading  and  embarrassment  and  ruin  which  ensued?"  If  i : 
is,  the  time  has  arrived,  as  I  humbly  conceive,  to  sweep  it  from  its 
connection  with  this  great  government,  and  to  rely  upon  hard  mo- 
ney currency,  the  only  one  known  to  the  constitution. 

In  answer  to  the  charge  of  raakina;  a  difterence  between  the  ^ov- 
erraent  and  the  citizens,  the  gentleman  says,  it  is  exactly  what  th^^ 
charter  stipulates  to  do.  It  is  true,  there  is  a  provision  in  favor  in 
the  government  to  receive  its  money  and  pay  it  out  \\iierever  want- 
ed, but  there  is  no  stipulation  that  the  citizens  shall  not  have  this 
privilege.  It  would  have  been  very  unkind  in  the  government,  after 
contracting  for  an  advantage  for  itself,  to  exclude  its  citizens  from 
the  same,  when  such  exclusion  could  be  no  possible  benefit  to  it= 
It  is  n^t  the  fact,  and  the  privilege  to  the  government  proves,  as  I 
said  before,  it  could  have  been  extended  to  the  citizens,  and  the 
difference  is  a  capricious  exercise  of  power,  unv/arranted  by  any 
principle  ot  common  honesty. 

So  far  as  relates  to  the  charge  of  partiality  towards  members  oi" 
Congress,  it  is  not  intended  to  convey  any  censure  or  misconducr 
whatever  against  them,  nor  do  I  object  to  any  arrangements  abou 
••:heir  pay.  But  I  understand  that  it  can  be  made  to  appear  that 
members  of  Congress  can  be  accommodated,  both  in  bills  of  ex- 
change and  in  loans,  without  the  usual  premiums  and  indorsers  re- 
quired from  other  citizens,  if  so,  and  into  this  fiict  1  want  to  en- 
quire, it  is  partial,  and  therefore  wrong.  If  it  is  not  so,  there  is  no 
harm  in  the  enquir3% 

With  regard  to  the  accumulation  of  proxies,  it  is  asserted  that  b^nk 
«!ficers  have  almost  the  entire  election  of  Director?.  If  true,  whar 
inischief  c^in  b£  gr,eater?    What  control  will  be  cxcrg!5.ed  by  men 


30 


^\ho  holti  their  offices  by  the  voice  of  the  vary  men  whose  conduct  ir 
IS  their  duty  to  watch  with  ijnceasing  \igilance? 

The  gentleman  is  much  surprised  at  the  charge  of  a  strong  suspi- 
don  of  a  secret  understanding  between  the  Bank  and  brokers,  to  job 
in  stocks  contrary  to  the  charter,  and  wishes  me  to  give  up  the  wit- 
ness. Grant  the  hearing  first,  and  then  we  will  see  haw  far  the  fact 
can  be  established.  All  criminations  are  mostly  nmde  upon  suspi- 
cions, but  it  is  very  unusual  for  the  accused  to  say  the  charge  is  false, 
but  I  do  not  wish  to  be  tried.  The  gentleman  says  wc  are  the  guar- 
dians of  the  Bank,  and  should  protect  it  from  a  charge  which  is  cal  - 
culated to  destroy  its  credit.  It  is  very  true,  sir,  we  are  the  guar- 
dians of  the  Bank,  but  it  is  equally  true  we  are  the  guardians  of  a 
much  higher  interest, — that  of  this  vast  community, — and  the  bes? 
protection  we  can  afford  tlicin  or  the  Bank,  is  to  give  the  latter  mi 
opportunity  to  v/lpe  off  all  suspicion  as  to  its  conduct,  and  entitle  it- 
'self  to  the  greater  confidence  of  the  former.  Does  it  want  any  other 
protection  than  this?  As  to  the  credit  of  the  Bank  resemblingYemale 
'  hastity,  it  is  a  most  unhappy  figure.  Depend  upon  it,  the  Bank  is 
710  virgin,  and  is  greiilly  more  like  the  "  Whore  of  Babylon,"  tliaii 
the  Diana  of  Ephesus. 

The  objection  against  the  Bank  on  account  of  subsidies  and  loan": 
to  printers  and  others,  was  so  ably  explained  by  my  colleague,  (Mr. 
Foster,)  that  I  shall  not  attempt  any  thing  further  on  this  point. 

The  gentleman  treats  the  charge  of  the  Bank's  making  a  distinc- 
lion  in  selling  bills  of  exchange  very  unceremoniously,  by  barely  say- 
ing it  is  unfounded.  Now  this  charge  is  met  exactly  as  all  the  other 
^:harges  ought  to  have  been.  It  is  the  general  issue  of  not  gidliy. 
and  the  nex!  thing  is  to  proceed  to  trial.  But  to  say  not  guilty,  and 
then  to  walk  right  off  from  the  investigation,  is  falsifying  the 
plea,  and  leaves  a  strong  conclusion  of  guilt.  If  the  gentleman  is 
satisfied  with  this  mode  of  answering  accusations,  I  am  sure  I  ought 
to  be.  But  the  truth  is,  and  can  be  established,  that  some  of  the 
i'ustouiers  of  the  Bank  have  obtained  favors  and  loans  at  a  very  dif 
Cerent  per  cent,  from  tliat  of  others.  Her  limit,  by  law,  six  per 
L'ent.:  she  has  been  known  to  lend  at  four,  at  a  long  credit,  and  hat 
divided  seven  to  the  stockholders.  Depend  upon  it,  some  one  has 
suffered  in  such  a  curious  combination  of  figures! 

The  charge  of  inducing  local  banks  to  clamor  for  a  renewal  of  the 
charter,  is  passed  over  with  the  same  kind  of  indifference.  I  will 
have  the  candor  to  own  that  this  rests  in  conjecture;,  but  when  I  see 
not  more  than  one  local  bank  in  ten  asking  for  the  continuance  of  a 
monster  whose  keeper  has  said  it  can  crush  them  whenever  it  pleases, 
and  when  I  see  the  other  nine  tenths  dreading  its  power  and  desiring 
itS  subjection,  I  feel  a  great  curiosity  to  learn  the  cause;  and,  per 
haps,  when  an  inquiry  is  made  into  the  debts  due  by  some,  and  the 
stock  owned  by  others  of  these  petitioners,  the  mystery  will  all  be 
explained. 

Tho.ugh  the  gentleman  says  that  aji  inquiry  into  the  actu.a];  ma^Wr 


31 


agement  of  the  Bank,  to  see  whether  aafelj  and  prudently  conduc(e<l; 
contains  no  charge,  yet  he  will  admit  it  has  some  reason;  and  \v fieri 
I  ask  him  if  he  would  give  a  new  lease  for  twenty  years  to  his  tenant,, 
without  inquiring  into  the  manner  he  had  treated  his  lands  under  the 
old  one,  will  he  not  perceive  that  1  am  asking  him  to  do  for  his  coun- 
try what  common  prudence  dictates  lie  should  do  for  iiimself?  What 
merchant  does  not  occasionally  take  an  account  uf  stock,  that  want? 
to  know  how  his  affairs  stand,  and  in  so  great  a  matter  as  that  of  re  - 
chartering  the  Bank,  is  it  possible  that  we  should  evince  less  vigi- 
lance and  caution  than  is  manifested  in  the  most  ordinary  concern^^ 
of  life?  My  wish  is  to  know  the  true  situation  of  the  Bank.  To 
Jet  the  community  know  it.  To  ascertain  her  debts  and  credits 
and  how  much  she  has  lately  increased  the  former  and  why?  li 
I  mports  be  true,  her  issues  have  been  a  million  a  month  for  the  last 
nine  months,  and  it  is  very  important  to  know  whether  she  has  the. 
ability  to  sustain  such  liberality,  especially,  if  an  act  of  justice  t'/- 
^he  Southern  States,  in  the  reduction  of  the  revenue,  slu^uld  compel 
a  withdrawal  or  diminution  of  the  public  deposites. 

With  regard  to  the  allegation  that  the  Bank  has  made  excessive 
issues  on  the  faith  of  public  and  other  deposites,  the  gentleman  says, 
if  it  is  obnoxious  to  censure  in  this  respect,  there  is  no  Bank  in  the 
whole  Union  that  can  escape  condemnation.  I  would  appeal  to  the 
good  reason  of  everyone,  if  the  conduct  of  one  person  should  be  jus- 
tified by  that  of  another,  and  if,  as  has  been  the  fact,  the  necessitv 
of  this  very  Bank  lias  been  claimed  upon  the  ground  of  excessive  is 
sues, of  the  local  Banks,  it  is  right  on  her  part  to  commit  the  same 
identical  sin?  With  but  seven  millions  of  specie,  and  that  divided 
into  so  many  parts  and  scattered  all  over  the  Union,  where  it  m 
obliged  to  remain  to  ansvv^er  the  demands  which  may,  at  short  peri- 
ods, be  made  upon  it,  a  sudden  withdrawal  of  seventeen  millions  of 
deposites  would  as  certainly  occasion  the  Bank  to  stop  payment  as 
that  one  dollar  can  not  pay  a  debt  of  two.  It  is  a  well  known  fact, 
that  the  Bank  of  England  had  six  times  as  much  specie,  in  propor 
lion  to  its  capital,  as  the  Bank  of  the  United  States  now  has,  when 
it  refused  payment,  and  such  was  its  influence  over  the  Govern- 
ment, not  greater,  however,  than  is  at  present  exerted  by  this  Bank^ 
that  it  obtained  relief  by  an  act  to  suspend  specie  payments.  Wheis 
will  nations  benefit  by  experience? 

I  come  now  to  the  charge  Vv'hich  relates  to  the  gold  and  silver  thar 
has  been  sent  from  the  South  and  West,  through  the  agency  of 
branch  orders,  and  before  I  answer  the  gentleman-s  argument  on 
this  point,  I  will  present  some -facts  from  a  document  lying  before 
me,  as  to  the  amount  and  the  time  of  its  withdrawal.  The  brands 
oi  ders  commenced  issuing  on  the  1st  of  July,  1827,  and  during  the 
Year  ending  on  the  1st  of  July,  1828,  S737,887  was  carried  to  the 
-■nother  Bank;  this  next  year,  §1,615,457;  the  next  year,  g2,177,- 
36;  the  next  year,  82,461,000;  and  for  the  last  six  months,  end- 
:  ng  1st  of  February  last,  31,326^305:  R^i^king  i'|i-  the  whole,  the 


t!;norttious  sum  of  8,oir,r90  dollars,  in  the  short  sp-ace  of  four  3-ears 
and  six  months.    Vv'hat  country  can  bear  this.    As  long,  Mr.  Speak- 
er, as  the  branches  would  issue  their  own  bills,  which  would  circu- 
late around  the  Bank  and  would  pay  them  off  with  specie  when  de- 
manded, the  local  Banks,  to  use  a  homel}^  phras«*,  had  a  "living 
chance."    To  illustrate  this  matter,  suppose  a  branch  and  a  local 
Bank"  side  by  side,  and  with  equal  capital:    If  they  transacted  any 
thing  like  an  equal  business,  they  would  receive  each  other's  bills  in 
sucK  an -equal  degree  that  upon  making  their  weekly  settlements 
there  would  scarcely  be  any  disturbance  of  their  hard  mongj^  ,boxes. 
But  all  at  once  the  branch,  having  a  parent  of  inexhaustible  wealth 
and  unlimited  credit,  a  thousand  miles  off,  takes  it  into  her  head, 
not  to  issue  any  more  bills  of  its  own  payable  at  home,  but  to  drav/ 
checks  or  drafts  upon  this  Mammon  Mother,  in  such  small  amounts 
as  would  scarcely  ever  reach  her,  and,  of  course,  under  this  arrange- 
ment, having  no  further  use  for  her  specie,  sends  it  all  off  to  this 
same  mother  Bank.    What  is  the  consequence  of  this  artful  device? 
The  local  Bank  continues  its  business  upon  the  faith  of  its  specie, 
against  t!)e  branch  Bank,  having  no  specie  and  indeed  wanting  none, 
and  w-lio  ha«  transferred  it  beyosid  the  reach  of  the  local  Bank,  it 
"oilov/s,  as  an  inevitable  consequence,  that  at  the  end  of  every  week 
the  branch  calls  upon  the  local  Bank  to  redeem  its  bills  taken  in 
payment  of  their  own  and  the  Government  debts,  and  by  this  pro- 
cess gradually  drains  the  local  Bank  of  every  dollar  it  receives.  By 
way,  Sir,  of  shewing  you  the  effect  of  this  thieving  artifice,  just  let 
-ne  give  you  the  statement  of  the  Faj^etteviile  branch  as  contained 
■n  the  monthly  statements  for  December  last,  premising;  that  it  is  a 
^aif  sample  of  all  the  Southern  and  Western  branches: 
Specie  on  hand    --------  §18,943 

Notes  issued,  nearly  half  a  million  of  which  are  branch 

(orders,        -       -       -       -       -       -   \-       -  1,141,030 

Deposites  on  account  of  the  Treasurer  of  the  U.  States,  26,098 
Beposites  on  account  of  public  officers,  »  -  -  -  21,196 
Deposites  on  account  of  individuals,  -      -      -       -  40,48'i 

One  million  and  a  quarter  of  paper  to  be  paid  with  about  NINS^ 
TEEN  THOUSAND  specie  dollars  ! !  Wonderful  I_  Not  as  much 
hai'd  money  as  perhaps  hundreds  of  sugar  planters  might  draw  from 
recesses  which  have  not  been  blessed  with  the  light  for  the  last  ten 
;/ears.  Now,  Mr.  Speaker,  let  me  present  you  with  another  pic- 
ture to  shew  you  where  tiie  specie  has  gone.  And  I  shall  take  the 
statement  for  the  month  of  July  as  being  a  fair  average  of  the  amount, 
of  specie  held  by  the  Banks,  hereafter  mentioned,  in  each  month  of 
the  whole  year,  and  because,  since  that  months  vast  quantities  of 
specie  have  been  exported  by  the  Bank  to  England  for  a  purpose 
i^hich  shall  be  presently  shewn,  and  vast  issues  of  bills  have  been 
made  also  since  that  time  to  quiet  fast  friciuls  iind  to  make  new 
ones: 


^3 


Specie  at  the  parent  Bank,  Philadelphia,  -  .  *  §3,660, 34*9 
Notes  issued  at  same  place,       -  -  2,556,997 

Specie  more  than  notes,  1,163,352 

Specie  at  the  Branch  of  Boston,  -  -  -  1,005,820 
Notes  issued  at  same  place,       .       -       -       -  664,360 

Specie  more  than  notes,  341,460 

Specie  at  the  Branch  of  New  York,  ^  -  -  2,226,429 
Notes  issued  at  same  place,       _       .       _       -  1,702,657 

Specie  more  than  notes,  523,77id 

Now  sir,  behold  the  operation  of  these  branch  orders  combined 
with  other  causes  which  shall  hereafter  be  noticed  to  draw  off  the 
silver  from  the  extremities  to  the  centre.  The  extremities,  unfortu- 
nately, are  the  parts  where  life  generally  begins  to  ebb,  and  in  this 
ease  it  has  been  wonderfully  true,  for  while  the  heart,  the  centre  of 
life  has  been  throbbing  with  a  force  that  has  thrown  off  its  millions  to 
Europe,  the  south  and  west  have  been  shivering  with  cold  feet  and 
hands,  the  sure  prognostics  of  approaching  death.  Let  me  jnst  call 
your  attention  to  one  single  feature,  while  looking  upon  these  two 
pictures. 

Fayetteviile,  a  mere  village  compared  with  New  York  and  Bos- 
ton, issuing  nearly  as  many  bills  as  the  former,  and  almost  twice  as 
many  as  the  latter,  and  that  upon  nineteen  thousand  dollars  specie! 
Who  could  believe  it?  But  ,Mr.  Speaker,  I  promised  somewhere  in 
my  argument  to  shew  you,  besides  the  fact  that  the  specie  was  drawn 
from  the  south  and  west  to  pamper  northern  cities,  that  there  was 
another  most  outragous  design  for  this  robbery.  The  northern  wars 
in  Europe  have  produced  a  great  demand  for  specie,  so  that  it  has 
sold  in  England  from  four  to  six  per  cent,  during  the  last  year.  The 
United  States  Bank  has  shipped  to  that  market  upwards  of  five 
millions  of  Specie,  and  after  selling  it,  at  the  per  cent,  mention- 
ed, has  drawn  bills  of  exchange  upon  the  funds  received  for  the 
specie  at  the  enormous  premium  of  eleven  per  cent,  making  by  this 
double  operation  not  less  than  sixteen  per  cent. 

Besides  the  fraud  upon  the  south  and  west,  besides  the  injury  to 
the  general  wealth  and  resources  of  the  country,  what  has  been  the 
consequences  to  the  commercial  interest.  Such  was  the  quantity  of 
money  in  the  North  at  one  time  that  interest  had  fallen  to  four  per 
cent.,  since  which  it  has  risen  to  twelve.  The  late  excessive  issues 
bottomed  upon  such  a  scanty  specie  foundation  has  produced  alarm 
and  the  consequence  is,  discouats  have  stopped  suddenly,  and 
left  comifnercial  establishments  in  the  most  perilous  condition,  so 
that  you  may  look  out  for  heavy  failures,   Jh  the  west,  ortler$ 


34 


have  been  given  not  only  to  stop  but  to  call  in;  and  in  the  town  of 
Louisville,  it  has  produced  such  a  panic  that  the  people  assembled 
with  flags  and  drums  to  betoken  their  indignation  at  such  wanton 
disregard  of  iheir  condition,  brought  about  by  the  Bank's  own  pre- 
vious seductive  indulgence'.  And  this  opening  and  contracting 
character  is  often  regulated  by  individual  and  private  speculations. 
For  instance,  Directors,  and  there  are  many  such  in  every  Bank 
who  entirely  control  its  operations,  finding  that  there  is  a  great 
accumulation  of  produce  in  the  town  where  the  Bank  is  located, 
suddenly  close  their  vaults  against  customers,  by  which  they  ex- 
clude competition  from  tiie  market  and  then  with  funds  which  they 
can  readily  command  become  the  sole  beneficiaries  of  a  sacrificed 
trade.  This  is  believed  to  be  the  case  in  Louisville,  by  reason  of 
the  vast  quantities  of  produce  locked  up  there  this  winter,  by  the 
ice.  But  Ifet  it  proceed  from  either  cause,  it  shews  that  there  is'^, 
something  wrong  in  the  workings  of  the  Bank.  But  the  gentle- 
man says  that  in  nothing  am  I  so  much  mistaken  as  in  supposing 
that  the  branch  Bank  orders  have  served  to  drain  the  specie  from 
the  south  west,  that  instead  of  this  nothing  has  been  more  servica- 
ble  to  us,  and  yet,  in  his  late  bill  he  recommends  this  very  curren- 
cy to  be  abolished.  It  is  owiwg,  he  says,  entirely  to  another  cause, 
and  then  gives  an  instance  of  the  process,  as  he  conceives,  that 
works  this  mischief.  He  first  premises,  and  in  this  I  most  cordial- 
ly agree  with  him  that  the  balance  of  trade  is  greatly  against  us  by 
reason  of  an  oppressive,  and  1  will  add  dishonest  protective  system, 
under  the  insidious  garb  of  revenue.  And  that  whenever  this  is  the 
case  the  specie  that  goes  oft' never  returns.  He  then  puts  the  case 
of  the  western  farmer  who  sells  his  stock  in  Savannah  or  Charles- 
ton, and  not  wishing  to  trade  at  either  place,  purchases  from  the 
branch  Bank,  bills  of  exchange  on  the  north,  this  operation  he  states 
is  calculated  to  keep  the  specie  in  the  south,  for  otherwise  they 
would  carry  it  oft*  from  the  local  Banks,  and  consequently  sets  it 
down  as  a  great  advantage  to  the  South.  But,  he  continues,  the  great  drain 
is  fi-om  this  cause  there  is  more  public  revenue  collected  in  the  South  than 
is  there  disbursed,  and  consequently  is  obliged  to  be  transferred  elsewhere  to 
meet  the  government  engagements.  The  Bank  is  not  the  cause  of  the  evil 
but  the  mere  instrument  of  the  government  in  making  these  drafts.  He  sup- 
poses the  revenue  collected  in  the  South  to  be  3,000,000  and  the  disbursements 
of  the  government  half  a  million,  the  balance  therefore  must  be  drawn  some- 
where else  te  be  applied  to  the  wants  of  the  government.  This  transferring 
of  the  revenue  from  place  to  place  he  maintains  cannot  be  done  by  the  local 
Banks.  Now  let  us  examine  all  these  positions,  premising  however,  that  his 
assumed  amount  of  revenue  and  disbursement  in  the  South  is  very  far  from 
being  the  true  state  of  the  fact,  for  the  income  of  the  government  is  less  and 
its  expenses  much  more.  To  guard  against  the  constant  draft  which  the 
branch  banks  make  upon  the  local  banks  for  their  specie  the  latter  have 
been  obl  g-ed  to  supply  themselves  with  funds  in  the  Northern  Banks  upon 
whicl  f'lcy  occasionally  draw  n  favor  of  the  former  to  keep  their  gold  and 
silver  at  hcune.  Now,  if  the  gentleman,  to  use  his  own  words  had  gone  a 
*^'little  (teeper"  iiito  this  matter  he  would  have  found  this  to  be  the  exact  pro- 
•Gess  of  money  drawing,  and  instead  of  a  benefit  is  a  most  essential  injury  to 


35 


he  South.  Take  bis  own  case,  for  instance,  the  Western  fixrmer  sel]^ 
stock  and  receives  its  value  in  the  bills  of  the  local  banks,  he  goes  to  the 
blanch  bank  to  buy  a  bill  of  exchange,— that  Bank  takes  his  money  right 
away  to  the  local  bank  that  issued  it,  either  receives  the  silver  or  gold  for  it 
or  a'draft  upon  the  North  as  I  have  before  stated.  If  the  latter,  they  make  the 
local  bank  discount  one  per  cent.  With  this  bill  they  return  to  the  aforesaid 
farmer  and  make  him  pay  1  per  cent,  premium,  and  this  is  not  all,  they  make 
him  pay  one  half  per  cent,  premium  for  having  taken  his  local  bills,  which 
they  had,  before  hi;-'  face,  carried  to  the  local  Bank,  and,  with  which  purchased 
a  bill  of  exchange.  Thus  they  make  2|  per  cent,  at  the  expense  of  the  local 
Bank. 

It  is  a  notorious  fact  they  do  not  buy  and  sell  by  the  same  measure.  A  Wes- 
tern Branch  advertises  that  it  will  either  buy  bills  at  a  discount,  or  seli 
them  at  ^premium!  What  would  be  thought  of  a  farmer  that  bought 
and  sold  by  different  weights  and  measures  ?  The  morahty  of  Banks, 
if  applied  to  the  concerns  of  society,  would  resolve  it  into  a  den  of 
swindlei'S. 

The  usual  dealing  is  this.  The  branches  sell  United  States  bills  at  ^  per 
cent.  premium,\\\e\  collect  the  State  Bank  bills  and  demand  the  specie  of  them 
weekly,  which  ihey  must  pay  or  give  checks  on  the  North  at  |  per  cent,  dis- 
coimt.  These  checks  the  branches  sell  at  h  per  cent,  premium,  having  pock- 
eted ^  on  their  own  notes,  ^  from  the  State  bank  and  ^  from  the  merchant 
When  these  facts  are  carefully  examined,  does  not  every  body  perceive  that 
the  local  Banks  are  made  the  instruments  at  last,  by  which  every  thing  is 
done  for  the  government  which  is  imputed  to  the  United  States  Bank?  How 
does  the  surplus  revenue,  of  which  the  gentleman  speaks,  and  which  he  says  is 
the  cause  of  draining'  the  specie  from  the  South  and  West,  get  to  the  places  at 
which  it  is  wanted'  Specie  must  be  transported  in  waggons  or  ships.  Can  not 
til<^  local  banks  have  it  carried  as  well  as  the  Branch  Banks?  Is  it  not  now  car- 
ried by  the  profit  made  from  them  in  tlie  manner  I  have  described?  If  they  now 
have  funds  in  the  North  upon  wluch  they  can  and  do  draw,  at  a  loss,  what  is  to 
hinder  tiiem  from  having  even  more,  if  they  had  the  government  deposites? 
Why  may  they  not  do  ih-iX  directly  which  they  are  now  made  to  do  indirecHifl 
The  branch  Banks  have  no  spepie,  as  already  shown;  they  draw  their  specie 
from  the  State  Banks,  and  make  them  pav  for  sending  it  to  the  North.  Now, 
in  the  name  of  every  thing  that  is  reasonable,  could  not  the  State  Banks  do  it 
themselves? 

Mr.  Speaker,  a  most  prodigious  character  is  given  to  the  United  States  Bank 
for  its  great  credit  throughout  the  Union,  nothing  is  so  much  spoken  of,  and 
yet,  strange  as  it  may  appear,  nothing  is  so  unfair  and  so  undeserved.  Permit 
me  to  tell  you  the  whole  mystery  of  this  matter  It  is  nothing  under  heaven 
that  gives  this  bank  such  a  name  but  two  provisions  in  the  charter,  which, 
taken  out,  would  sink  its  credit  to  a  level  with  the  meanest  local  bank  in 
America.  First,  the  goverment  receiving  all  her  dues  In  the  bills  of  that  bank, 
and  second,  depositing  all  Ixsr  revenue  in  the  game.  Now  sir,  I  affirm,  borrow- 
ing the  idea  from  a  late  forcible  writer,  if  the  government  will  do  these  two 
things  for  the  meanest  beggar,  that  crawls  in  tattered  rags  through  this  city, 
he  would  have  directly  the  same  credit  that  the  United  States  Bank  has.  Just 
let  the  government  proclaim  to  the  nation  that  It  will  receive  the  notes  of  such 
a  person  as  I  have  described  to  the  amount  of  25  millions  in  payment  of  its 
debts,  and  that  it  will  indorse  the  same,  and  ]mt  all  her  money  in  his  posses- 
sion and  he  forthwith  goes  abroad  with  the  whole  of  government  credit 
with  him,  and  this  is  precisely  tliat  which  is  imputed  unperceived  to  the 
Bank.  Why  then,  if  given  t(*  local  banks,  should  not  the  same  result  be 
expected?  They  are  managed  in  the  same  way,  with  men  of  equal  skill,  of 
equal  integrity,  and  with  the  same  science  and  materials.  Does  anyone  believe 
if  Pennsylvania,  without  any  aid  from  the  General  Government's  credit,  had 


36 


set  up  such  a  Bank  as  that  now  in  Philadelphia,  it  could  have  acquired  the 
same  credit?  Why  does  not  the  other  Banks  in  that  State  possess  it?  Surely  in 
that  great  State  all  the  banking-  wisdom  and  honesty  have  not  got  into  the  Unit- 
ed States  Bank  alone?  But  notwithstanding-  all  this  advantage  is  given  to  this 
great  Bank,  there  are  other  Banks  in  the  Union  almost  of  equal  credit.  I  dis- 
cover by  the  directions  of  the  Treasury  Department,  that  the  Receivers  of 
Money,  even  in  Mississippi  and  Arkansas,  are  instructed  toi-eceiv^  the  bill«  of 
the  State  Banks  of  Boston  and  New  York.  If  these  can  be  made  to  answer 
the  purposes  of  the  Go^^ernment,  why  may  not  well  regulated  Banks  of  other 
Stan>s  do  the  saine  thing?  Tne  truth  is,  Mr.  Speakei;,  every  thing  in  the 
South  is  distrusted;  there  is  not  that  confidence  and  respect,  such  as  ought  to 
exist  between  sister  States,  extended  to  that  region,  and  it  is  growing  more 
manifest  every  day.  The  local  Banks  there,  as  well  as  in  the  West,  have  been 
tre  ^ted  with  great  mgratilude.  While  they  strained  every  nerve  to  support 
your  last  war,  lent  to  the  last  dollar,  behold  the  North  was  clinching  her  gold 
and  silver  as  though  it  were  in  the  claws  of  an  eagle — not  a  farthing  was  lent. 
They  wept  when  you  were  victorious,  and  shouted  when  you  were  vanquished. 
They  boasted  of  their  g-old  while  i\xQ  South  and  West  triumphed  in  their  vic- 
tories. After  the  war,  when  that  portion  of  the  country,  which  had  to  support 
it  With  their  lives  ahd  money,  come  to  count  tlie  cost,  it  is  true  they  found 
themselves  embarrassed,  as  was  to  have  been  expected  from  the  excessive 
sacrifices  they  had  been  comp-lled  to  make.  The  issues  of  money  had  been 
immense,  but  it  was  for  a  generous  and  noble  object.  Such  another  state  of 
things  can  never  again  occur  in  this  country.  It  is  fondly  to  be  hoped  that  one 
part  of  this  nation  will  not  have  to  fight  the  battles  common  to  all  and  to  ex- 
haust themselves  to  support  the  honor  and  interest  of  a  Government,  the  main- 
tenance of  wliich  involved  an  equal  obligation  from  the  whole  community.^ 
It  was  said  the  currency  was  deranged  and  that  an  United  States  Bank  must 
be  cliartered  to  restore  it  to  soundness.  And  having  said  this,  it  is  now  be- 
lieved, that  that  Bank  is  entitled  to  the  credit  of  establishing  it.  Nothing  is  so 
erroneous.  The  Bank  never  went  into  operation  till  the  year  1817.  In  two 
years  thereafter  it  was  pronounced  insolvent  by  a  Committee  of  Congress.  In 
July,  1827,  the  branch  orders  commenced  toissUe,  which  Mr.  Biddle  declar- 
ed, in  a  letter,  dated  January,  1828,  to  Mr.  Rash,  was  obJiged  to  be  resorted 
to,  or  to  give  up  the  Bank.  Listen  to  his  own  words: — "The  institution 
found  itself  in  a  position  where  it  became  necessary  eitherto  RENOUNCE  the 
great  purposes  of  its  creation,  or  to  seek,  among  its  other  acknowledged  pow- 
ers, the  means  of  accomplishing  them."  How  could  it  have  restored  the  cur- 
rency to  soundness  if  all  the  time  it  was  struggling  as  in  a  case  of  life  and  death? 
Crippled  from  the  beginn.ing — at  its  last  gasp  in  1819 — but  barely  crawlingon 
to  1827,  and  yet  the  great  restorative  of  the  currency  of  the  country?  Tlie 
thing  is  too  unreasonable.  No,  the  truth  is,  it  is  the  cause  I  have  mentioned — 
it  is  the  Government's  credit  and  her  twenty-five  millions  of  dollars  throv/n  in- 
to the  scale  of  this  distempered  monster  that  has  enabled  it  to  weigh  down  the 
State  institutions. 

The  two  last  clutrges  may  be  taken  toge«^her;  they  consist  in  establishing 
agencies  in  different  States  without  authority,  and  employing  State  Banks  to 
transact  tlieir  business  without  the  consent  of  the  Secretary  of  the  Treasury. — 
The  gentleman  says  he  is  wholly  ignorant  of  any  provision  in  the  charter  which 
forbids  such  agencies,  nor  does  lie  exactly  understand  what  1  mean  by  the  last 
objection.  This  is  not  my  fault,  but  I  think  I  have  shewn  by  a  clause  from  the 
charter,  tiiat  the  only  powers  the  Bank  has,  on  this  subject,  is  to  estahllsh  a- 
branch,  with  a  President  and  Directors,  for  the  purposes  of  c?/.scot;72/  and  depos- 
ite,  or  to  employ  any  other  Bank  to  transact  i's  business  other  than  that  of  dis- 
counting. HaA  ing  specially  provided  two  ways,  all  others  are  excluded;  there 
is  no  authority  to  appoint  agencies,  and  neither  of  the  foregoing  methods  will» 
\Vi  the  remotest  degree,  admit  of  that  construction.    The  last  ground  is  a  isirn- 


37 


pie  affirmation  which  can  easily  be  disproved  by  shewing  the  consent  of  the 
Secretary  of  the  Treasury  \.o  employ  such  Bants  as  are  transacting^  their  busi- 
ness. The  requisition  on  the  part  of  the  charter  is  a  very  wholesome  one,  for 
the  Government  oug-ht  to  know  what  local  Banks  are  permitted  to  take  charge 
of  their  immense  deposites. 

I  believe,  Sir,  I  have  now  gone  through  all  the  arguments  of  the  gentleman 
founded  upon  the  charges  in  their  regular  order.  Bcfoi-c,  huwcvt-r,  I  take 
my  final  leave  of  him,  I  must  advert  to  one  suggestion,  which,  from  its  nature, 
was  intended  to  be  addressed  to  our  sympathies  ;  and,  as  I  am  one  who  have 
ever  believed,  that  one  touching  sally  upon  the  passions,  overpowers  a  thou- 
sand dry  arguments.  I  always  leave  the  latter  to  dislodge  the  former.  He 
said,  "A  large  portion  of  the  stock  of  this  institution  belongs  to  the  widow 
and  the  orphan ;  in  many  instances,  perhaps,  their  sole  support  and  inheri- 
tance." I  believe  nothing  could  be  of  more  service  to  this  description  of  per- 
sons than  a  dissolution  of  this  institution.  "When  the  old  United  States  Bank 
wound  up  its  business,  and  made  a  final  division,  each  Stockholder  had  return- 
ed to  him  not  only  the  full  amount  of  his  shares,  with  eight  per  cent,  inte- 
rest per  annum  for  the  whole  period  of  its  incorporation,  but  he  had  paid  to  him 
(me  Jcuadred  dollars  to  tlie  share  besides — tliat  s,  his  money  was  doubled,  ex^ 
elusive  of  the  interest.  There  is  no  manner  of  doubt  that  such  v.-ould  be  the 
result  at  the  expiration  of  the  present  Charter.  This  doubled  amount  could 
soon  be  vested  in  other  stock,  and  their  means  of  supjiort  consequently  in- 
creased one  hundred  per  cent.  And,  ?^Ir.  Speaker,  this  would  be  no  common 
support,  either  ;  for  I  find,  upon  examining  the  list  of  Stockholders,  there  are 
upwards  of  forty  widows  who  own  over  ten  thousand  dollars  each,  and  several 
as  high  as_/?//y  thousand.  Concerning  these  last,  I  h'^pe  the  gentleman  will 
give  himself  no  uneasiness  ;  for  they  can  assure  him,  in  any  event  of  the  Bank 
question,  they  will  remain  pre'ty  good  game,  for  the  pursuit  of  AXY  WIDOW- 
ER whatever.  But,  Sir,  while  he  is  manifesting  such  sensibility  for  these 
destitute  persons,  let  me  shade  his  ]Dortrait  a  little  by  a  sombre  color,  which 

I  can  employ  from  another  class  of  Stockholders  in  this  same  Bank  :  The 

real  Stockholders  are  not  American  Widows  and  Orphans,  but  5n//s72  Lords 
and  Ladies — British  Naval  aud  Military  Officers — British  Clergymen  and  Coun- 
try Squires — and,  Sir,  for  your  exquisite  delight,  permit  mc  to  read  a  few  of 


their  names  : 

Baring,  Brothers  &  Co.,  London,    $791,500 

The  Most  Honorable  the  Marquis  of  Hartford   100,300 

The  Right  Honorable  Sarah  Countess  Dowager  of  Castle  Stuart. .  10,000 

Sir  Colin  Campbell  and  Sir  Richard  Humer   37,100 

Right  Honorabk.  Lord  Henry  Viscount  Gage   12,000 

Honorable  Hudson  Gurney,  Member  of  Parliament   50,000 

Sir  Robert  Harvey  .'   19,500 

Sir  William  Keppel,  General  in  His  British  Majesty's  forces, 

Knight  of  the  Grand  Cross  of  the  order  of  the  Bath   72.200 

Major  General  Maister   9,000 

Si?  George  Nugent,  Baron  t   20,000 

J.  Packwood,  of  the  Royal  Navy   8,000 

Sir  Marmaduke  Warren  Peacock,  f.ieutenant  General,  &c   50,000 

The  Earl  of  Beauchamp  ,   15^000 

Sir  Gilbert  Sterling  ,   10,000 

Ladv  Sarah  Stuart   31,300 

Sir  Grenville  Temple   20,000 

Augusta  Countess  Dowager  Van  Pollant   4,200 

The  Earl  of  Levin   50,000 

Major  General  Macdonald   64,900 

Lieut.  General  Sir  Thomas  Bradford   4,000 

Sir  William  Keeth  IJall,  Baronet  »  ,   30,000 


38 


Lord  tlrie  Keeiy  » , . ,  , .  60,00iff 

Mrs.  Ann  R.'.  dfern   7o',160 

Abel  Smith,  Esq   100,000 

Sir  Edward  Tucker   50,200 

.lonathan  Austin,  Esq   120,000 

Major  William  Davis   20,000 

Reverend  Arthur  neim   ^  jqq 

Reverend  Philip  Fletcher   2o'o00 

Reverend  Georg-e  Gordon   30  HO 

Mr.  Benjamin  Hcj'^wood  ,   178,400 

John  Marshall,  (London)   123,600 

James  Drake   100,000 

John  Marshall   264,200 

Lieut.  Col.  John  Maxwell  , . . .  64,900 

Sir  Robert  Wilson   15,000 

Lady  Ros(?bella  Wilson   15,000 

And  Inst,  thoug-h  not  least,  Mrs.  Candelaria  Bell   63,700 


Whose  fanciful  and  beautiful  name  1  hope  will  be  remembered  by  some  gentle- 
man of  the  Turf,  when  he  comes  to  christen  his  next  female  Racer.  In  all,  up- 
wa'xls  of  400  in  number,  and  holding-  Stock  to  the  amount  of  8}  millions,  be- 
sides what  is  in  the  hands  of  T?'ustecs. 

I  have  some  additional  charges  to  make,  Mr.  Speaker,  In  reference  to  the  con- 
duct of  the  Norfolk  Branch.  There  stands  an  item  of  forty  thousand .  dollars 
On  the  montldy  statements  to  the  debit  of  the  late  Navy  Ag-cnt,  which,  as  I  un- 
derstand has  occurred  in  consequence  of  the  cashier's  permitting-  him  to  over- 
draw the  funds  of  the  government  placed  to  his  credit  in  that  Bank.  And  that 
these  overdraughts  have  been  furtlier  occasioned  by  this  very  cashier's  pur- 
chasing-the  checks  of  the  Navy  Ag-ent  at  a  discount,  and  applying-  the  proceeds 
to  his  individual  profit,  v/hich  speculation  was  brought  about  by  telling  the 
holders  of  these  checks  that  the  Navy  Agent  liad  no  funds  in  Bank,  but  that  he 
would  pay  tliem  off  for  a  premium,  and  that  he  did  so  to  a  very  large  amount, 
I  have  the  evidence  before  me,  which  1  beg  leave  to  read  from  the  report  of 
the  laic  Secretary  of  the  navy,  that  this  same  cashier  charged  the  govern- 
»  ment  two  per  cent,  for  ten  thousand  dollars  specie,  which  it  wanted  for  a  South 

American  expedition.  [Ile-re  the  extract  was  read.]  On  another  occasion 
tile  government  wanted  twenty  thousand  dollars,  and  the  same  cashier  de- 
manded one  half  per  cent,  but  that  premium  being  refused,  the  money  was 
not  had  and  the  State  Banks  supplied  it  without  ai.y  charge.  Now  to  a  go- 
vernment which  has  generally  ten  miUions  of  her  money  upon  deposite  in  this 
institution,  and  whose  wants,  by  the  very  terms  of  the  charter,  are  to  be  sup- 
plied at  all  places,  it  is  well  worthy  of  knowing  the  reason  of  this  extraor- 
dinary demand,  especially,  when  I  tell  you  it  was  made  contrary  to  the  will  and 
wishes  of  the  Directors  of  that  Bank.  The  President  of  the  mother  Bank 
disavows  most  positively  that  the  institution  in  any  of  its  relations  ever  inter- 
feres in  politics,  fie  knows  that  such  a  vast  monied  establishment  with 
its  five  hundred  officers,  and  million  of  debtors  could  exert  an  influerce  in 
this  government  calculated  to  destroy  its  independence  and  hence  he  has  in 
a  late  private  letter  written  forlpublication  in  a  newspaper,  which  I  have  before 
me,  utterly  disclaimed  any  concern  in  the  elections  of  the  country.  Now  sir, 
although  I  do  not  wish  to  abridge  any  of  the  ri.ghts  of  the  citizeiis  in  this  free 
and  happy  country,  and  I  am  perfectly  willing  that  every  man  in  it,  or  in  any 
office  belonging  to  it,  should  exert  all  the  influence  he  has  personally  in  tho 
whole  round  of  its  affairs,  yet  I  do  not  think  it  prudent  that  he  should  bring 
to  the  contest,  either  the  weight  of  his  office,  or  the  superior  conti'ol  of  his 
money,  much  less  do  I  desire  to  see  the  avowal  of  principles,  for  a  secret 
purpose,  that  stand  contradicted  by  actual  facts.  Now  sir,  the  private  letter 
to  which  I  have  alluded  is  not,  in  point  of  fact  correct.    The  President  of  the 


59 


Norfolk  Branch  did  in  person  attend  the  polls,  at  an  election  for  the  memberB 
of  Congress,  challenged  the  voters  as  the  they  came  up  to  the  clerk's  table, 
some  he  changed  and  when  reproaclied  for  his  conduct  he  stated  he  was 
inditterent  as  to  the  candidates  individually,  but  he  stood  tliere  opposed  to 
General  Jackson.  This  course  of  conduct  produced  great  excitement  which 
terminated  in  a  fight  between  the  President  of  the  Bank  and  the  person  who 
re])roached  liim  immediately  in  the  presence  of  the  managers.  Perhaps  it  may 
be  said  the  Directors  of  the  mother  Bank,  know  nothing-  of  these  last  charges; 
I  answer  sir,  that  the  whole  of  them  have  been  laid  before  the  directors  at  the 
central  institution  and  pressed  with  much  earnestness  by  one  of  the  largest 
stockholders  in  Virginia,  whose  information  so  far  has  received  little  or  no 
attention. 

In  conclusion,  Mr.  Speaker,  I  offer  one  more  reflection.  It  is  aptly  said 
by  some  writer,  that  the  financial  system  of  this  country  represents  an  invert- 
ed pyramid.  Six  thousand  millions  of  property,  and  all  the  enterprizes  and  in- 
terchanges of  the  country  resting  upon  sixty  millions  paper  dollars,  which  are 
themselves  depending  upon  about  fifteen  millions  of  specie.  And  all  this  under 
tlie  exclusive  control  of  one  grand,  regulating,  central  machine,  whose  whole 
operations,  and  all  its  immense  profits,  belong  to  a  highly  favored  few.  I 
have  done  for  the  present,  but  tlie  half  has  not  been  told  which  belongs  to 
tjais  important  subject- 


308    C749    V.2  ^Q3ZZ- - 


